Dubai: DP World has started operations at the Berbera Economic Zone (BEZ) in Somaliland, which with the Port of Berbera could transform the area into a key trade hub in the Horn of Africa, a region with 140 million people.

The zone is located 15 kilometres from the port along the Berbera-to-Wajaale road (Berbera Corridor) that connects to Addis Ababa in Ethiopia, and which ‘needs multiple sea gateways to meet its trade requirements’.

The latest opening follows that of a new container terminal at Berbera Port in June 2021. “DP World’s vision for Berbera is to develop it into a trade hub, taking advantage of its strategic location along one of the busiest sea routes in the world and access to the vast hinterland in the region, including Ethiopia,” said a statement.

DP World already has an agreement with IFFCO, a major UAE-based food company, to develop a 300,000 square feet edible oil packing plant in the BEZ.

“The dynamics of global trade are changing, and there is a growing need for trade infrastructure, such as economic zones, with easy and fast access to international shipping,” said Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World. “These will bring companies closer to their customers, improve their logistics and allow them to expand into new markets.

“The integration of Berbera port with the new Economic Zone is a great example of this, making Berbera a world-class trading ecosystem, now and for the future.”

The Somaliland free zone is based on the model operated by Jebel Ali Free Zone in Dubai. There will be’ synergies’ between the two zones, where companies in Dubai can register for Berbera through the JAFZA one-stop shop, while companies in Berbera can access JAFZA’s incubation centre facilities.