Economic Rules Hub
  • World
  • Politics
  • Business
  • Investing
Home World ‘We’re constructing an ecosystem’: How a small, windy city could become a gateway for trade
World

‘We’re constructing an ecosystem’: How a small, windy city could become a gateway for trade

by admin May 28, 2024
May 28, 2024

Dakhla, a small city in the disputed territory of Western Sahara, which is mostly controlled by Morocco, is located on a long spit of sand between the Atlantic Ocean and a saltwater lagoon. Its consistent wind makes it a hotspot for kitesurfing enthusiasts, but a new port, currently halfway through construction, could turn the area into a gateway for trade.

The $1.2 billion megaproject is expected to complete in 2028. Spanning 1,650 hectares, the complex will include a trade port with an oil terminal, a fishing port and a shipyard. There will be a bridge linking the port to the land and a 7-kilometer road that connects the port with a national highway that runs along the coast as far north as Tangier and as far south as the border with Mauritania.

This will not only boost Morocco’s economy, she says, but it could help the country become a maritime hub for worldwide trade, connecting regions such as West Africa, the Middle East, Europe, North America, the Canary Islands and even South America.

“The geographic location is key (to) the success of the port,” she says, adding that the project has attracted significant foreign investment, including from the United Arab Emirates.

Gateway to Africa

The project is part of Morocco’s national port strategy, which aims to modernize and strengthen port infrastructure by 2030, in order to enhance its role in global supply chains.

Seaports such as Casablanca, Tanger-Med and Agadir have already been or are being upgraded, but because of its location, the Dakhla port is seen as particularly significant in opening up other parts of the African continent for the world to trade with.

“We strongly believe that with this infrastructure – port infrastructure, road infrastructure, renewable energy – we will be very attractive for investors that aim to get to one of the fastest growing markets, which is the West African market,” says Mounir Houari, general manager of Dakhla’s Regional Investment Center.

With the implementation of Africa’s continental free trade agreement, which aims to create a single market for goods and services, the port could encourage the processing of raw materials within the continent.

“Less than 5% of African natural resources are processed in Africa because there is no industrial infrastructure and exporting infrastructure,” says Houari. The Dakhla port “will encourage many Africans to start processing natural resources in Africa, allowing African countries to create more jobs to improve their skills and know-how and strengthen their own industries.”

The Sahel region, especially landlocked countries such as Mali, Chad, Niger and Burkina Faso, are expected to benefit. Houari explains that Morocco has granted the region access to its road and port infrastructure, providing “a door to the Atlantic maritime trade.”

Turloch Mooney, head of port intelligence and analytics at research firm S&P Global Market Intelligence, says the development could be beneficial to the region. “It is very positive to see modern port and trade infrastructure being developed in the Western Sahara where there is potential to support a large hinterland in West Africa and the Sahel,” he says. “Quality port infrastructure and efficient port operations is part of the package of assurance for foreign direct investment and has been a key factor in the successful growth strategies of many developing countries.”

But Western Sahara and the Sahel region has a long history of unrest. “Local disputes can make developing port infrastructure and reliable logistics much more challenging,” says Mooney.

He cautions that infrastructure alone won’t drive trade growth in the region, and that the port’s success will depend on good governance, reliable transport connections and political stability.

This post appeared first on cnn.com

0
FacebookTwitterPinterestEmail
previous post
Temperatures in Pakistan cross 52 degrees Celsius — that’s more than 125°F
next post
Shaking seats and piped-in fog: How 4DX is carving out a niche moviegoing market

Related Posts

Lost dog returns home after swimming to island in 100-mile...

June 4, 2025

Aid distribution in Gaza has turned deadly. Here’s what to...

June 4, 2025

Mexico’s ruling party expands power in Supreme Court after elections...

June 4, 2025

He survived an assassination attempt. Now South Korea’s new president...

June 4, 2025

As Ukraine batters Russia with daring assaults, firebrand pro-Kremlin pundits...

June 4, 2025

Chile prosecutes individuals alleged to have stolen babies

June 4, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent

    • Lost dog returns home after swimming to island in 100-mile trip

      June 4, 2025
    • Aid distribution in Gaza has turned deadly. Here’s what to know

      June 4, 2025
    • Mexico’s ruling party expands power in Supreme Court after elections marred by low turnout

      June 4, 2025
    • Chile prosecutes individuals alleged to have stolen babies

      June 4, 2025
    • As Ukraine batters Russia with daring assaults, firebrand pro-Kremlin pundits rattle nuclear sabers

      June 4, 2025

    Categories

    • Business (1,388)
    • Investing (3,380)
    • Politics (4,526)
    • World (4,441)
    • Email Whitelisting
    • Terms and Conditions
    • Privacy Policy
    • Contacts
    • About us

    Disclaimer: EconomicRulesHub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 EconomicRulesHub.com | All Rights Reserved

    Economic Rules Hub
    • World
    • Politics
    • Business
    • Investing