Morocco boosts shipbuilding activity by 2024
The complex situation in the Strait of Hormuz has led to an increased level of demand in the Mediterranean ports. The role of the port of Tangier Med has increased its notoriety as the main port of entry to the Mediterranean, and requires an investment commensurate with the levels of maritime traffic expected between now and the end of 2024.
This is why the Moroccan government, led by Aziz Akhannouch, has taken the decision to increase the number of container cargo ships to 100 over the next 15 years. These new ships will belong to the public and private sector. This plan, which includes the accession of a hundred ships, will be studied by the Minister of Transport and Logistics, Mohamed Abdeljalil, in the coming weeks. This is due to the incentives it enjoys and the success of its ports in world competition, despite the constant volatility of the market.
The port of Tangier Med is considered the main industrial zone in Africa and the second largest economic area in the world, after Jebel Ali in Dubai. For the fifth consecutive year, Tangier Med leads in Africa and the Mediterranean basin in terms of container throughput.
The North African country aims to increase the volume of exports through this industry to 200 million dollars through the production of life jackets, communication devices, navigation equipment and others, according to the government's Economic, Social and Environmental Council. Investment has been key. Between 2021 and 2023, Morocco's naval investment reached 50 million dollars.
In the coming years, the port plans to invest 714 million dollars in an expansion to improve the capacity of the passenger and truck terminal and modernise the import area, as revealed in the document released by the World Bank's Multilateral Investment Guarantee Agency in January. The new investment will increase the port's container handling capacity by expanding the truck terminal to one million units.
Figures that lag behind the expected size of the sector between 2023 and 2024 of 21.29 billion. For the next 4 years, the company Mawred Intelligence estimated a growth rate of 6.11% per year.
Morocco's immense competitive advantages in the sector make it a privileged state. With more than 3,500 kilometres of coastline and 1.2 million kilometres of exclusive zone, the capacity for expansion of the shipping industry is immense.
According to the official website of the Ministry of Transport, the country has 43 ports of which 14 are open to international trade and fully operational. ‘The advantages that support the development of this industry also include the port infrastructure and the competitive cost of labour compared to the Mediterranean basin countries,’ says Ahmed Al-Shami, chairman of the Economic Council.
Al-Shami added that the successful approach of sectors such as automobiles and aviation is being studied with a view to transferring the model to the shipping sector. Reducing tariffs, abolishing taxes and adding incentives are the main measures being considered by the Council. All in accordance with the new Investment Charter.
The port, located on the shores of the Strait of Gibraltar, remains a leader in the Mediterranean, connected to more than 180 international ports. Last year it handled 8.61 million containers, an increase of 13.4% compared to the previous year. In this context, the deputy director of the port of Tangier, Rachid Al-Hawari, affirmed that the number of containers passing through the ports of Morocco will exceed 9 million, an increase of 3.5% on the record figures reached in 2023.
The port handled around 107 million tonnes of cargo last year, an increase of 6% on the previous year. This quantity represents more than half of all the cargo handled in the ports of Morocco, according to information from the Ministry of Economy and Finance.
