Logistics

Egypt partners with DP World to boost exports

Egypt is strengthening its export ambitions through a new partnership with DP World that aims to improve logistics efficiency, lower trade costs and open new international markets for Egyptian products, with Africa identified as a key growth destination

The initiative was announced during a meeting between Minister of Investment and Foreign Trade Mohamed Farid and a DP World delegation led by Mohammad Shehab, CEO for Egypt and the Levant. Representatives from the General Authority for Investment, the Export Development Authority, the Export Development Fund, the Commercial Representation Authority and export councils also participated in the discussions.

The agreement supports Egypt's wider strategy of enhancing its foreign trade ecosystem by connecting exporters with global logistics networks that can simplify market access and improve supply chain efficiency.

Rather than focusing solely on transport, modern logistics providers increasingly offer integrated supply chain solutions covering warehousing, customs facilitation, multimodal transport and distribution. For exporters, these services can reduce lead times, improve delivery reliability and help products compete more effectively in international markets, particularly where logistics costs represent a significant share of the final product price.

As part of the collaboration, the ministry and DP World will work with export councils to develop logistics solutions tailored to individual industries while identifying new trade routes that can support the movement of Egyptian goods into overseas markets.

Africa represents one of Egypt's fastest-growing export opportunities, driven by stronger regional economic integration, infrastructure investment and expanding consumer markets. DP World's extensive port and logistics network across the continent is expected to provide Egyptian businesses with improved access to these markets while strengthening regional supply chain connectivity.

Farid said the partnership forms part of efforts to improve Egypt's foreign trade system, reduce logistics costs and increase the competitiveness of Egyptian products in international markets.

Shehab highlighted the opportunities created by DP World's international logistics network, saying it offers significant potential to expand Egyptian exports, particularly across Africa.

He also noted that Egypt remains a strategic market for the company, adding that the continued development of Ain Sokhna Port and its logistics zone will reinforce the country's position as a regional trade and supply chain hub. Located on the Red Sea near the entrance to the Suez Canal, Ain Sokhna is increasingly becoming a strategic gateway linking trade flows between Africa, Asia, Europe and the Middle East.

The two sides also agreed to hold technical meetings with export councils to identify practical measures that will simplify export procedures, reduce market access costs and support Egypt's export growth targets.

By combining government trade initiatives with private-sector logistics expertise, the partnership is expected to strengthen Egypt's export infrastructure while creating new opportunities for manufacturers seeking to expand their presence across Africa and other international markets.

Navigating in a new era for Africa's ports (Image source: Adobe Stock)

Africa’s ports are facing increasing pressure as infrastructure is required to support larger vessels and growing demand

At the same time, these assets must perform within dynamic coastal environments, increasingly influenced by climate change. The future of the continent’s maritime infrastructure will depend on how well engineering, environmental understanding, and system-level thinking come together.

For Yasmin Kistner, principal associate: maritime, discipline lead: ports, WSP in Africa, the challenge begins with the physical reality of ports.

“Future-ready infrastructure means providing deeper, more robust facilities to accommodate increasing vessel sizes and cargo demand, while also responding to changing climate systems,” she explains.

Yet in South Africa, this is not a blank-slate exercise. Much of the country’s port infrastructure already exists, and that changes the nature of the problem.

“The challenge is working with what is currently there and improving it to make it future-proof, while continuing operations at the same time,” Kistner says. “You cannot simply deepen a channel or expand a basin without considering how that affects the stability of the existing infrastructure. Every intervention has knock-on effects.”

Balancing act

This tension between immediate functionality and long-term resilience plays out in every upgrade, where engineering decisions must balance operational continuity with structural integrity and future capacity.

Ports, however, do not operate in isolation. Their performance depends not only on the infrastructure itself, but on how efficiently cargo moves through the broader logistics system and how the port functions within its coastal environment over time.

“Seaports are critical for connecting South Africa to global trade, but inland dry ports are becoming an increasingly important part of how goods move inland,” says Kistner. “They allow cargo to be stored and distributed away from congested port environments, improving efficiency and reducing pressure on coastal infrastructure.”

As these systems become more interconnected, design must respond not only to operational demands and the capacity of hinterland networks to handle logistics flows, but also to how infrastructure performs within its coastal context over the long-term.

A coastal understanding

For Samantha Fourie, coastal modeller: maritime, WSP in Africa, numerical modelling of coastal processes provides the foundation for understanding how these environments behave before infrastructure is introduced or altered.

“Every project starts with a question, but before you can answer it, you need to understand the current environment,” she explains. “We build what we call a baseline. That means collecting data, measurements, and observations so we can quantify what is happening now before predicting what will change.”

This baseline is fundamental. It is what gives clients, regulators, and stakeholders confidence that decisions are grounded in reality.

“Data is everything,” Fourie says. “Without it, you cannot validate your model or your conclusions. Whether you are looking at coastal erosion, wave behaviour, or water quality, you need to understand the processes at play before you can assess the impact of any intervention.”

A deeper understanding

In practice, this means building detailed environmental models that simulate how coastlines, currents, and infrastructure interact under different scenarios, including long-term change.

“The outputs feed directly into decision-making,” Fourie says. “It comes down to risk, safety, environmental impact, and regulatory requirements. The work does not sit in isolation. It influences whether something gets built, how it gets built, and what safeguards need to be in place.”

The intersection between these two perspectives is where the future of port development is being shaped.

Port and coastal engineering has always considered and will always consider the dynamic coastal environment. The aspect requiring increased consideration is having a thorough understanding of potential long-term changes in the coastal and logistics environment.

Environmental considerations

From a design perspective, Kistner points to incremental yet meaningful shifts already underway.

“We are investigating the use of more environmentally friendly materials, such as alternative concretes in breakwater structures, and designing for future energy systems like shore power,” Kistner says. “This allows vessels to draw electricity while docked, reducing emissions and improving air quality in port cities.”

But sustainability is not limited to materials or energy systems. It is embedded in how infrastructure responds to long-term environmental change.

“Climate change is going to impact coastlines regardless of how we build,” says Fourie. “The role of modelling and engineering is to help infrastructure adapt to those changes, not just respond after the fact.”

Integrated thinking

Looking ahead, Kistner and Fourie both see a shift toward more integrated, system-level planning.

“There is a growing awareness that numerical modelling of coastal processes and engineering need to work more closely together,” Fourie adds. “You need predictive tools to design infrastructure that can adapt over time.”

This integrated approach is already shaping long-term planning at a national and regional level. “Across Africa, many established ports are already undergoing phased expansions and upgrades to accommodate increasing demand and evolving vessel requirements,” says Kistner.

These projects are not only about adding capacity at the coastline. They are increasingly part of wider efforts to improve the movement of cargo across the full logistics network. This includes investment in rail and road corridors, as well as the development of inland terminals and dry ports that can support more efficient distribution.

By moving some activity away from constrained coastal environments, these interventions can help relieve pressure on ports while improving the reliability of trade flows between coastal gateways and inland markets.

Together, these developments point to a broader reality: ports are no longer standalone assets. They are critical nodes in a connected system of trade, infrastructure, and environmental dynamics.

Africa’s maritime future will depend on how well that system is understood, planned, and managed. “We are not just building for today,” Kistner says. “We are building infrastructure that must remain functional and resilient decades into the future.”

For Fourie, that future carries a more personal dimension. “It becomes quite personal when you think about it,” she says. “You want to protect coastlines, support sustainable development, and ensure that future generations can experience these environments in the same way we have.”

There is no single solution. The path forward lies in combining sound engineering with a clear understanding of environmental processes, while supporting efficient and sustainable port operations. “In a system with a limited tolerance for error, that level of integration is essential,” concludes Kistner.

Read more:

DP World launches Egypt's first integrated logistics centre

Suez Canal welcomes advanced LNG container ship

Gabon launches Kobe Kobe port construction project

TAILG president Michael Yao signs the MOU with Jean-Luc Stalon, resident representative of UNDP Kenya (Image source: TAILG)

TAILG has signed a Memorandum of Understanding (MOU) in Kenya with the United Nations Development Programme (UNDP) to jointly implement green, low-carbon mobility projects

This includes the development of a Green Mobility Centre of Excellence (GM-CoE).

The MOU, which establishes a long-term cooperation framework between the two parties, identifies the GM-CoE as a key foundation for continuously driving the growth of Africa’s green and low-carbon mobility industry.

TAILG, a leading company in e-mobility solutions, will be involved in project operations and governance, the establishment of an innovation system, the implementation of ecosystem projects, and international technical exchanges, creating a professional and sustainable platform for Africa’s green technology innovation ecosystem.

“This strategic partnership with UNDP marks an important milestone in TAILG’s high-quality global development,” said Michael Yao, president of TAILG.

“In the future, TAILG will leverage its new energy two-wheeler technologies to collaborate on advancing green mobility, gasoline-to-electric conversion, and carbon reduction projects in Africa.”

TAILG already operates seven R&D and manufacturing bases worldwide, with an annual production capacity exceeding 15 million units.

Its products and services are available in more than 70 countries and regions worldwide.

Yao said that TAILG will continue collaborating with UN agencies and other partners to advance the development of green electric mobility, driving regional green growth and contributing to global carbon reduction goals and sustainable development.

“Through concrete actions, we will advance the Sustainable Development Goals, share China’s low-carbon transportation solutions, and jointly promote the long-term development of the region’s green economy. Through continuous technological innovation, we will protect the ecological environment, contribute to global sustainable development, and help the Earth go further.”

Read more:

Spiro ready to scale electric mobility

Volvo launches new electric trucks

Hybrid green ferry launched on Gambia river

DP World opens Egypt's first integrated logistics distribution centre at Sokhna to strengthen regional trade.

DP World has inaugurated Egypt's first fully integrated Logistics Distribution Centre (LDC) at Sokhna Logistics Park, introducing a new logistics hub designed to simplify access to the Egyptian market while supporting regional and international trade through a single distribution platform

The launch ceremony was attended by His Excellency Dr Mostafa Madbouly, Prime Minister of Egypt, alongside senior government officials and representatives from international businesses. The occasion also marked the first official visit to Egypt by His Excellency Essa Kazim since assuming the role of chairman of DP World. During the event, agreements were signed with the first three international customers that will utilise the new facility.

Situated adjacent to Sokhna Port within the Suez Canal Economic Zone, the Logistics Distribution Centre has been strategically positioned along one of the world's busiest trade routes, providing efficient connectivity to markets across the region and beyond.

The facility delivers an integrated supply chain offering that combines international freight forwarding, port operations at Sokhna Port, warehousing, inventory management, order fulfilment, customs clearance support, transport coordination and a range of value-added services. These include assembly, packaging, repackaging, labelling and product customisation, allowing businesses to manage distribution from a single location while retaining ownership of inventory until products reach their final destination.

His Excellency Essa Kazim, chairman of DP World, said, "The launch of the project marks a new chapter in our long-standing partnership with this dynamic market. Egypt has been one of our most important investment destinations in the region, and today we reaffirm our confidence in its potential to become a global hub for trade, industry and logistics.”

“Egypt's first Logistics Distribution Centre reflects our vision of creating an integrated ecosystem that connects ports, logistics and supply chain solutions, enabling businesses to access local, regional and international markets more efficiently. We look forward to expanding our investments in support of the Egyptian government's vision while strengthening the competitiveness of the Egyptian economy and attracting further investment," added Kazim.

The centre has already secured its first group of international customers, highlighting Egypt's growing importance as a regional logistics gateway.

Among them is a Kenya-based tea exporter serving customers across Africa, Europe and the Middle East. The company, which handles around 1,000 TEUs into Egypt each year, will use the facility as a regional inventory hub to streamline distribution across several international markets.

Another early customer, one of the world's leading consumer goods distributors, will utilise the centre to support operations in eight markets across Saudi Arabia, the Levant and the Horn of Africa. Its activities will be supported by a dedicated temperature-controlled facility located within Sokhna Logistics Park.

A third customer is a German multinational specialising in fibre-optic cables and digital infrastructure solutions. The company will use the logistics centre to strengthen its distribution and re-export operations across Egypt, North Africa and the Gulf Cooperation Council countries.

Mohammad Shihab, executive vice-president, Egypt and Levant, DP World, said, "The launch of the LDC at Sokhna Logistics Park strengthens Egypt's trade and logistics capabilities by enabling businesses to position inventory closer to customers and serve multiple markets from a single regional hub. The integrated model improves efficiency and flexibility while reinforcing Egypt's role as a strategic gateway connecting Asia, Africa and Europe.”

He thanked the Egyptian Government for its support in enabling the project, adding that it will help attract investment, encourage industrial growth and improve Egypt's competitiveness.

By positioning inventory and raw materials closer to manufacturing hubs and end markets, the Logistics Distribution Centre is expected to shorten lead times, improve supply chain resilience and support business continuity. It will also provide local industries with quicker access to essential materials, further strengthening Egypt's position as a regional trade and logistics hub.

DP World has invested more than US$1.4bn in logistics infrastructure across Egypt. Its investments include the expansion and modernisation of Sokhna Port, the development of Sokhna Logistics Park and a new cold chain facility currently under construction. Together with the company's freight forwarding, contract logistics and end-to-end supply chain services, these assets are intended to help businesses improve operational efficiency, lower costs, enhance export competitiveness and expand access to regional and global markets.