Dubai-based terminal operator DP World has begun development of a new cooking oil terminal at the port of Berbera in Somaliland and has agreed a long-term lease for the facility.
The terminal will be the latest addition to Berbera’s growing trading ecosystem following the recent opening of the Berbera Economic Zone (BEZ), 15 km from the port along the corridor leading to Addis Ababa in Ethiopia.
A storage capacity of 18,000 tons is initially planned, which is to be expanded as demand increases. The terminal will be able to handle vessels with a draft of up to 16m, allowing Berbera Port to handle bulk imports of cooking oil for the first time.
“The ability to import oil in bulk and package it locally will make cooking oil more affordable for people in the region and create local jobs,” DP World said.
The first phase of the terminal has been leased on a long-term basis to Mzahim Investment, a subsidiary of UAE-based Essa Al Ghurair Investments (EGI). Mzahim will set up a local packaging plant in Berbera to supply Somaliland and the wider Horn of Africa, which could employ up to 100 people.
Berbera lies on one of the world’s busiest sea routes and DP World said it plans to transform it into an integrated maritime, logistical and industrial trade hub to serve the Horn of Africa, a region with a population of more than 140 million people.