Adani Ports and Special Economic Zone (APSEZ) has clinched a significant 30-year concession agreement with the Tanzania Ports Authority to operate Container Terminal 2 (CT2) at Dar es Salaam Port. This marks APSEZ’s third venture into international ports, signaling its strategic expansion beyond Indian shores.
Strategic Partnership and Acquisition
Through its subsidiary, Adani International Ports Holdings Pte Ltd, APSEZ will manage CT2 in partnership with Abu Dhabi Ports Group and East Harbour Terminals Ltd. Last year, a joint venture was formed, facilitating the acquisition of Tanzania International Container Terminal Services Limited (TICTS) from Hutchison Port Holdings Limited and Harbours Investment Limited for $39.5 million.
Operational Capacity and Impact
CT2, boasting four berths and an annual cargo handling capacity of 1 million TEUs, played a pivotal role in Tanzania’s container volumes, managing 0.82 million TEUs in 2023. The acquisition aligns with APSEZ’s global ambitions and underscores its commitment to bolstering trade ties and economic cooperation in East Africa.
Vision for Transformation
Karan Adani, Managing Director of APSEZ, articulated the company’s vision of leveraging its expertise and network to elevate Dar es Salaam Port to world-class standards. This strategic move aligns with APSEZ’s overarching goal of emerging as one of the world’s leading port operators by 2030.
Global Footprint and Challenges
While APSEZ already operates in international ports like Haifa in Israel and has ongoing projects like the terminal in Sri Lanka, its past ventures, notably in Myanmar, have faced challenges. The sale of the Myanmar port at a discount amid civil unrest allegations highlights the complexities inherent in APSEZ’s global expansion strategy.