DP World, a worldwide port operator headquartered in Dubai, and Turkey’s Evyap Group have announced a collaborative equity partnership arrangement.
This strategic alliance involves DP World Yarimca Port and Evyap Port, aiming to enhance supply chain services within Turkey.
Upon finalization of the agreement, DP World will possess a majority stake of 58% in Evyap Port, while the Evyap Group will hold a 58% stake in DP World Yarimca Port. The name of the combined entity will be DP World Evyap Port.
“The partnership aims at enhancing and growing trade infrastructure by focusing on improving container port facilities and enhancing efficiencies in the key Marmara gateway market,” it said.
“The collaboration seeks to improve productivity, reduce turnaround times, ensure security, and broaden service offerings, benefitting Turkish trade.”
This development follows the declaration by the United Arab Emirates (UAE) and Turkey of agreements and deals valued at a total of $50.7B in July. The aim of this effort is to strengthen investment connections and promote cooperation in key industries.
These agreements encompassed various sectors including infrastructure, energy, defence, technology, finance, and space.
Furthermore, earlier this year, the two nations had previously engaged in a comprehensive economic partnership agreement, which received official approval in May.
Anticipated to drive bilateral non-oil trade beyond the current $19B to over $40B, the UAE-Turkey partnership is poised to generate numerous employment opportunities across both nations, as stated by Dr Thani Al Zeyoudi, Minister of State for Foreign Trade, in May.
Dr Al Zeyoudi highlighted that Turkey holds the position of being the UAE’s fastest-growing trading partner among the top 10.
UAE investments in Turkey, amounting to $7.8B by the close of 2021, span diverse sectors such as finance, real estate, transportation, renewable energy, ports, and logistics.
DP World’s Global Presence
DP World, in May, expressed that the UAE-Turkey Comprehensive Economic Partnership Agreement (Cepa) will unlock Turkey’s substantial economic potential as a global trade centre.
Located in the Izmit Gulf, the DP World Yarimca container terminal stands among the largest in the nation. It showcases a substantial capacity of 1.15 million twenty-foot equivalent units (TEUs) and possesses the ability to manage even the largest container ships in the world.
Evyap Group presently operates Evyap Port, the fourth-largest private port in Turkey. This port’s container terminal accommodates up to 855,000 TEUs annually, with a linear dock stretching 455 meters. It serves both sizable vessels of up to 400 meters in length and smaller feeder vessels.
DP World announced its intention to augment container-handling capacity by approximately three million TEUs by year-end, including 579,000 TEUs at Yarimca, in response to burgeoning demand in crucial trade markets.
As a leading global port operator managing around 9% of worldwide handling capacity and ranking among the top five operators, DP World’s expansion will elevate its overall gross capacity to 93.6 million TEUs. The company’s medium-term goal is to achieve an annual capacity of 100 million TEUs, contingent on market demand.
