Mozambique has granted approval for an extended agreement involving DP World, Grindrod, and other operators overseeing its largest port, situated in the capital city of Maputo.
The deal, endorsed by the Council of Ministers, spans 25 years, concluding in 2058. The consortium, which includes Mozambique’s state-owned railway operator, plans a $2 billion expansion as part of the deal. The extension allows for investments totalling nearly $1.1 billion by 2033, providing a significant boost to Maputo’s port capacity.
Maputo’s port has experienced rapid growth in response to increasing demand from Mozambique’s expanding economy and heightened exports from neighboring South Africa. Challenges at South Africa’s Transnet have prompted miners dealing in coal, chrome, and magnetite to redirect larger cargo volumes to Maputo.
The port’s capacity is slated to rise to 54 million tons annually by 2058, up from the current 37 million tons. The expansion includes the enhancement of a coal terminal in Matola, adjacent to Maputo, to handle 18 million tons yearly, up from the existing 7.5 million tons.
Furthermore, the extended concession agreement outlines plans to nearly quadruple annual shipping-container capacity to one million units by 2058, significantly transforming and boosting the port’s overall capabilities.
