"Creating an ecosystem": How a windy, small city could serve as a trade entry point
A $1.2 billion venture is anticipated to finish by 2028. Sprawling over 1,650 hectares, this facility will feature a trade harbor with a petroleum station, a fishing harbor, and a shipyard. A bridge will connect the seaport to the land, and a 7-kilometer roadway will link the harbor with a national highway that extends from Tangier to the Mauritanian border.
"We're creating a self-sustaining ecosystem," Nisrine Iouzzi, the construction director for the Dakhla Atlantic Port, explains to CNN. When finished, she predicts the port will handle 35 million tons of product annually.
This development will not merely stimulate Morocco's economy but can also establish it as a maritime center for global dealing, connecting regions like West Africa, the Middle East, Europe, North America, the Canary Islands, and even South America.
"The location is pivotal to the port's prosperity," she asserts, emphasizing that the project has enticed substantial international investments, including from the United Arab Emirates.
Access Point to Africa
This project falls under Morocco's national port plan, which aims to update and fortify port infrastructure by 2030, thus expanding its function in global supply chains.
Ports like Casablanca, Tanger-Med, and Agadir have been or are being refurbished, but because of its position, the Dakhla port is viewed as particularly crucial in connecting other African territories for worldwide commmerce.
"We're convinced that with this infrastructure - seaport infrastructure, road infrastructure, renewable energy - we will be very appealing for investors seeking to reach one of the fastest-growing markets, which is Western Africa," Mounir Houari, Dakhla's Regional Investment Center general manager, tells CNN.
With the introduction of Africa's continental free trade agreement, which aims to set up a solitary market for products and services, the port may foster the processing of raw materials within the continent.
"Less than 5% of African resources are processed within Africa due to the lack of industrial infrastructure and exporting infrastructure," says Houari. The Dakhla port "will prompt numerous Africans to commence processing natural resources in Africa, allowing African nations to create more jobs and boost industry skills and expertise."
The Sahel region, particularly landlocked nations like Mali, Chad, Niger, and Burkina Faso, is expected to reap the benefits. Houari explains that Morocco has extended access to its road and seaport infrastructure to these nations, serving as "a portal to the Atlantic maritime commerce."
Turloch Mooney, head of port research at analysis firm S&P Global Market Intelligence, sees potential in the project. "It's incredibly favorable to notice modern seaport and trading infrastructure being developed in the Western Sahara where there's potential to support a vast hinterland in West Africa and the Sahel," he says. "Modern port infrastructure and efficient port operations are crucial for foreign direct investment and have aided the successful development plans of numerous emerging countries."
However, he adds a note of caution, "Local disagreements could make developing port infrastructure and dependable logistics significantly more difficult." He stresses that infrastructure alone won't fuel trade growth in the area, and the port's success will hinge on good governance, trustworthy transit connections, and political stability.
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The Dakhla Atlantic Port, once completed, is expected to serve as a significant entry point to Africa, facilitating global trade with regions such as West Africa.
Given its strategic location, the port has the potential to become a hub for the processing of raw materials within Africa, as outlined in Africa's continental free trade agreement, benefiting neighboring countries like Mali, Chad, Niger, and Burkina Faso.
Source: edition.cnn.com
