Mozambique Insight: The new reality of Nacala port

The logistic Northern Development Corridor is definitely the most challenging of the three logistics corridors that Mozambique holds (Maputo, Beira and Nacala).

Because it is a bi-national concession management project, manages two ports in one country and two railway systems in two different countries, multimodal transport and cargo handling, all in a huge geographic area, among many others challenges. Being today the preferred export gateway of coal from Tete (Mozambique), Nacala port is preparing itself for the future materializing its potential into concrete actions. And the future looks exciting.

The Minister of Transport and Communications, Carlos Mesquita, quoted yesterday by the daily Notícias, said that the concessionaire of the Port of Nacala (CDN) will invest 10 million dollars in the construction of a bulk grain terminal. The infrastructure will have a discharge capacity of 300 tons per hour and storage of 40,000 tons, as well as packaging facilities. The second phase, to be developed during the third year of operations, includes the construction of a bulk fertilizer terminal adjacent to the grain terminal and of similar capacity. The mentioned project will be executed by the Mitrelli group.

Mozambican news agency AIM reported that the total investment is estimated at US$200 million. The Mitrelli group, of Israeli origin, is present in three African countries, Angola, Ghana and Kenya, and the current investment is its first in Mozambique. According to Minister, the expansion and modernization of the port of Nacala will respond to the demand of Mozambique’s neighbouring landlocked countries, namely Malawi, Zambia and Zimbabwe.

“The social impact of the cereal terminal should focus on creating job opportunities for young people who lack a job market orientation,” said Carlos Mesquita.

North Development Corridor (CDN) holds currently three concessions:

• Mozambique north railway system up to the year 2035
• Nacala port up to the year 2020
• Malawi railway system up to the year 2042

These three concessions are absolutely vital for the success of this corridor.

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Adding to all this new scenario, it is worth not to forget that the Nacala port will most probably be the chosen one for the first shipments of cargo for the oil and gas projects in the Palma area in a near future.  It is the nearest port that holds minimum conditions to receive the first cargo for the set up of the infrastructure in the Palma area until Afungui port facility is a reality. Nacala port will definitely no longer have to rely on transit cargo only since Mozambique new reality offers many new projects and millions of tones of cargo for export besides the traditional imports.

Pedro Monjardino – Managing Director at Strategic Consulting and was Project Manager for the negotiations of the concession of the port of Nacala and railway of Mozambique and railway network of Malawi representing the shareholder of SDCN Manica Freight Services (Mozambique).

Pedro Monjardino – Managing Partner of Strategic Consulting

Source: https://furtherafrica.com/2019/08/13/mozambique-insight-the-new-reality-of-nacala-port/