[ad_1]
DP World, the global port operator, plans to spend between 500 million and 1 billion dirhams this year to expand the Jebel Ali free zone and seeks to acquire new acquisitions following a contract concluded last month with a Chilean operator.
"The Free Zone and the Board of Directors are committed to expanding their operations in 2019 – it could be more equipment, warehousing, hosting. , land development or more roads, "said DP World President Sultan Ahmed bin Sulayem on Sunday.
"However, if [the board] comes to us in June and says, we think that 500 million dirhams will be 1 billion dirhams, we have a flexible budget. "
According to an badysis of Oxford Economics published by DP World, Djebel Ali, or Jafza, the oldest free zone and port of Dubai, gathering about 7,500 companies, accounted for 33.4% of the gross domestic product of the country. emirate and 10.7% of UAE GDP in 2017. on Sunday.
According to the latest available figures, Jafza-based companies accounted for 23.9% of Dubai's foreign direct investment flows. "We will continue to expand the free zone in 2019," Bin Sulayem said.
At the same time, the world's fifth largest port operator is seeking new global acquisitions this year, while taking a "cautious" approach to investing, the president said. "We are watching our money; That said, nothing good, we will buy it, as [in] Chile."
In January, DP World agreed to take 71.3% of the shares of Minera Valparaiso and other shareholders badociated with the Matte Group in Puertos y Logistica (Pulgosa), a listed company in Santiago, for a proposed investment of 502 million of dollars. The agreement, which has not yet been finalized, would allow DP World to gain access to five regional ports as it expands into South America.
DP World operates container terminals in Port Callao (Peru) and Brazil (Santos), as well as Terminals Rio de la Plata (Buenos Aires) in Argentina.
Mr Bin Sulayem cited the United States, India and Asia as high growth markets for new acquisitions. He said he was indifferent to the Sino-US trade war and the Chinese economic slowdown. The Asian superpower has announced its weaker GDP growth since 1990 in the fourth quarter of last year and its government is adopting tax measures to offset it.
However, uncertainty over the possible exit of the United Kingdom from the European Union could "scramble" the markets. "[UK officials] need to plan for themselves, "he said.
In October, DP World said the short-term outlook for the port of Dubai, the port of Jebel Ali, remained difficult in terms of container volume, and bin Sulayem maintained the forecast on Sunday. Improved regional economic growth and the upcoming Expo 2020, Dubai, will boost trade in the coming year, but DP World will adopt a "cautious approach to our supply chain and investments", he declared.
DP World recorded a 0.5% annual decline in shipping container volumes in the third quarter of 2018, due to a tougher macroeconomic environment, lower margin freight loss and higher volumes. in the United Arab Emirates, where container volumes in Dubai fell 6.7% year-on-year.
The company holds a majority stake in Virgin Hyperloop One, the futuristic transportation company owned by British billionaire Sir Richard Branson. In 2016, DP World reportedly began discussions on the feasibility of setting up a Hyperloop linking the port of Jafza to the rest of the free zone and possibly to other parts of Dubai.
Mr. bin Sulayem told reporters that the company had decided that it was not possible to build a Hyperloop link to connect short distances within Jafza, but that an announcement about the project would probably be made at the Expo.
Updated: February 3, 2019 at 18:04
[ad_2]
Source link
