Dubai-based trade enabler DP World has signed an agreement to build and operate modern logistics hub outside of Bamako, the capital city of Mali.
The agreement signed with the Republic of Mali includes a 20-year concession with an automatic 20-year extension.
The 1000-hectare logistics hub, dubbed Mali Logistics Hub (MLH), is located on the main road corridor from Dakar, Senegal to Bamako and close to the Dakar-Bamako rail line.
The logistics hub will have a capacity to handle 300,000 TEU (twenty - foot equivalent unit), four million tons of bulk and general cargo.
It will feature inland container depots (ICD) and Container Freight Stations (CFS) that will allow the import and export of goods.
The first phase of the project, with an estimated initial investment of $50m, will include an inland container depot and container freight station facility.
Construction on the logistics hub is expected to commence in 2019 and is set to about 18 months to complete.
Furthermore, DP World will provide three locomotive trains to Mali to enhance cargo & passenger traffic along the Bamako-Dakar rail system.
Upon completion, the logistics hub is expected to minimize processing times for products entering the Malian market in order to avoid obstacles to trade and economic development.
As part of the agreement, DP World will also implement its online paperless facilitation platform to speed up the movement of goods.
DP World chairman and CEO Sultan Ahmed Bin Sulayem said: “The Malian market is expected to grow over the next two decades and is driven by a robust economic and population growth.
“Thus, the Mali Logistics Hub is much needed and will provide the country with a logistics platform that aims to facilitate the import and export of goods via the Port of Dakar, which is operated by DP World.
“DP World’s investment will significantly cut processing times for goods and thus facilitate trade. We are committed to enabling trade in the region and helping local businesses and people prosper, and look forward to working together.”