RIYADH: Iraq’s maritime industry is poised for expansion after a UAE logistics and trade firm signed a deal aimed at developing Al-Faw Grand Port and its associated economic zone.
Abu Dhabi Ports Group entered into a preliminary agreement to develop a joint venture with the Iraqi goverment-company responsible for the sector, according to a press release.
The initiative seeks to contribute to the nation’s economic growth by fostering global trade relations, developing commercial sea corridors, and attracting international terminal operators, the report added.
The agreement also encompasses the potential investment, management, and operation of logistic terminals, economic zones, and related infrastructure in other Iraq cities.
“Al-Faw Grand Port and Economic Zone project is of great importance to the Iraqi government, which is committed to implementing the project in line with the highest global standards, in cooperation with our partners in the UAE and AD Ports Group,” Iraq’s Minister of Transport, Razzaq Al- Saadawi, said in the statement.
“Moreover, combined with the development road project, Iraq’s most prominent economic and logistics development, this project will strengthen maritime transport and freight shipping between Asia and Europe,” he added.
The preliminary agreement aims to provide the necessary expertise for Al-Faw Port and Economic Zone using advanced management and operating models. It also studies the mechanism of developing, financing, managing and running as well as maintaining the project, with an aim to enhance overall efficiency and operational capabilities.
This signing follows a memorandum of understanding inked by the two parties in September 2021 and a subsequent addendum, signed in August 2023, which sought to further enhance cooperation.
For his part, the UAE’s Minister of State for Foreign Trade, Thani Al- Zeyoudi, said: “The agreement signed today between AD Ports Group and the General Company for Ports of Iraq is in line with the directives of our wise leadership toward strengthening economic ties and increasing bilateral trade volumes between the two countries.”
He added: “In combination with associated agreements aimed towards the establishment of mutual growth platforms for business and private sectors, through exploring cooperation opportunities that drive mutual benefit in key industries.”
