AD Ports Group and the Suez Canal Economic Zone (SCZONE) have entered into a significant 50-year renewable agreement. This agreement grants AD Ports Group the usufruct (the right to use and derive profit) of a 20 square kilometer area near Port Said, an Egyptian port city on the Mediterranean Sea. This agreement aims for AD Ports Group to develop and operate a substantial industrial and logistics park within this zone, reports Zawya.
Agreement Signed
The East Port Said Industrial Zone is positioned as a crucial hub for international trade and investment, leveraging its strategic location on the Mediterranean Sea at the entrance of the Suez Canal to serve East-West trade routes.
An agreement for the development of the KEZAD East Port Said Industrial and Logistics Zone was signed in Cairo. The signing was witnessed by prominent figures, including Egyptian Prime Minister Dr. Mostafa Madbouly, UAE Minister of Industry and Advanced Technology Dr Sultan Al Jaber, UAE Minister of Investment Mohamed Hassan Alsuwaidi, Egyptian Deputy Prime Minister for Industrial Affairs and Minister of Industry and Transport Lieutenant General Engineer Kamel Al Wazir, UAE Ambassador to Egypt Mariam Al Kaabi, Managing Director and Group CEO of AD Ports Group Captain Mohamed Juma Al Shamisi, and Chairman of SCZONE Mr. Waleid Gamal El-Dien.
The agreement was formally signed by Ahmed Al Mutawa, Regional CEO of AD Ports Group, and Admiral Mohamed Ahmed Mahmoud, Vice Chairman of SCZONE for the Northern area.
Under the terms of the agreement, AD Ports Group will be responsible for the development, construction, financing, operation, and management of the industrial and logistics zone. This will be carried out in phases, with an initial focus on Phase 1, which will cover a total area of 2.8 square kilometers. An estimated total investment of $120 million will be allocated over the next three years for market and technical studies as well as the development of Phase 1. Construction on this initial 2.8 km2 phase is anticipated to commence by the end of the current year.
Key Clients
The development of Phase 1 of the KEZAD East Port Said Industrial and Logistics Zone will be significantly supported by key potential clients and partners, notably Hassan Allam Holding, a prominent construction and development group in the region.
Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, emphasized the strategic importance of this project, stating, “KEZAD East Port Said is a milestone that highlights the strong economic relations between the UAE and Egypt. In line with the vision of our wise leadership, this strategic cooperation is another sign of our Group’s growing focus on Egypt, where we continue to enhance and develop our integrated trade, transport, and industrial ecosystem, offering clients unparalleled end-to-end solutions and services. This infrastructure investment will provide a long-term source of economic growth for Egypt, while enhancing the Suez Canal role in promoting and supporting the East-West trade corridor.”
Waleid Gamal El Dien, Chairman of the Suez Canal Economic Zone (SCZONE), highlighted the project’s strategic alignment with SCZONE’s objectives: “The launch of this project in the East Port Said Industrial Zone represents an important strategic step that reaffirms the depth of the strong fraternal relations and the growing strategic partnership between the Arab Republic of Egypt and the United Arab Emirates, as well as the prominent position held by SCZONE as a pivotal global trade hub for industrial and logistics activities. This project enhances SCZONE’s ongoing efforts to support global supply chains by providing a competitive and integrated investment environment, underpinned by advanced infrastructure, and a unique geographic location, connecting three continents via one of the world’s most vital maritime routes.”
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Source: Zawya
