DP World, Fujairah Ports Authority Sign 50-Year Deal to Build Two New Arabian Sea Ports

Fujairah | EcoPulse24

DP World and the Fujairah Ports Authority have signed a landmark 50-year concession agreement to develop two new multi-purpose ports on the Arabian Sea, creating a major new logistics gateway designed to strengthen the UAE's position as a global trade and maritime hub.

The agreement, witnessed by Sheikh Mohammed bin Hamad bin Mohammed Al Sharqi, Crown Prince of Fujairah, covers the development of the Al Rugaylat Container Port and Dibba Fujairah Port, marking one of the UAE's largest long-term maritime infrastructure projects.

The two ports are expected to significantly enhance the country's logistics resilience, expand cargo handling capacity and provide direct access to international shipping routes outside the Strait of Hormuz.

New Deep-Water Trade Gateway

The project will establish a new deep-water maritime gateway capable of accommodating the latest generation of ultra-large container vessels.

Al Rugaylat Port will have annual capacity to handle:

• 2.5 million TEUs of container traffic.

• 1.7 million tonnes of general cargo.

• 190,000 Car Equivalent Units (CEUs).

Meanwhile, Dibba Fujairah Port will add up to 3.6 million tonnes of annual general cargo capacity.

Each port will be integrated with a dedicated logistics zone, creating a comprehensive trade and logistics ecosystem along the UAE's Arabian Sea coastline.

Expanding UAE Logistics Capacity

Upon completion, DP World's total container handling capacity within the UAE will increase from 19.4 million TEUs to nearly 22 million TEUs, while substantially expanding its capabilities for general cargo and roll-on/roll-off (Ro-Ro) operations.

The new ports will also be connected to Jebel Ali Port through DP World's inland logistics network and integrated with the Jebel Ali Free Zone (JAFZA), enabling customers to move cargo more efficiently between ports, logistics centers and end markets across the UAE and beyond.

Construction will be carried out in phases and is expected to take between 24 and 30 months from the start of works.

Strengthening Supply Chain Resilience

The project is designed to reinforce the UAE's logistics flexibility by providing additional port capacity, broader routing options and stronger connectivity across regional and global trade corridors.

Fujairah's strategic location on the Arabian Sea provides direct access to major international shipping lanes, positioning the emirate as an increasingly important maritime services hub while supporting long-term economic growth, investment and job creation.

Officials Highlight Strategic Importance

Sheikh Mohammed bin Hamad Al Sharqi said the agreement reflects the vision of Sheikh Hamad bin Mohammed Al Sharqi, Ruler of Fujairah, to strengthen the emirate's position as a global maritime and logistics center.

He said the development will enhance economic infrastructure, attract high-value investment, improve supply chain efficiency and create new employment opportunities while reinforcing the UAE's competitiveness in international trade.

Sheikh Saleh bin Mohammed Al Sharqi, Chairman of the Fujairah Ports Authority, described the project as a major development that will accelerate growth across trade and logistics sectors while significantly expanding Fujairah's operational capacity.

Issa Kazim, Chairman of DP World Group, said the investment reflects the company's confidence in the UAE's long-term growth and reinforces the country's position among the world's leading trade and logistics hubs.

DP World Group CEO Yuvraj Narayan added that the integration of Fujairah with Jebel Ali will create a stronger domestic supply chain network capable of supporting long-term trade growth and increasing logistics resilience across the UAE.

EcoPulse24 Analysis

The agreement represents more than a port expansion - it marks the creation of a second integrated maritime gateway for the UAE on the Arabian Sea. By combining deep-water ports, dedicated logistics zones, inland transport links and integration with Jebel Ali and JAFZA, the project strengthens the country's ability to diversify cargo flows and improve supply chain resilience.

The development also enhances Fujairah's strategic importance within the UAE's logistics network. Located outside the Strait of Hormuz, the emirate offers direct access to global shipping routes, providing additional operational flexibility for international trade. Once operational, the new facilities will increase DP World's domestic container capacity by roughly 2.6 million TEUs, reinforcing the UAE's position as one of the world's leading trade and logistics platforms.

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