Egypt partners with Sky Ports for Borg El Arab dry port, logistics zone
It is expected to reduce congestion of goods and containers at seaports, enhance logistics services, and lower cargo transport costs.
EGYPT – The General Authority for Land and Dry Ports has signed a memorandum of understanding with Sky Ports to finance, build, and operate a dry port and logistics zone in Borg El Arab.
The project falls under the directives of President Abdel Fattah El-Sisi to boost cooperation with both international and local private sector entities across all ministry projects.
Strategic Location and Scope
Spanning 133 feddans (approximately 559,000 square metres) in Borg El Arab City, the project will support the industrial zone in Borg El Arab and facilitate trade, including exports and imports.
It is expected to reduce congestion of goods and containers at seaports, enhance logistics services, and lower cargo transport costs. For fresh produce exporters, this means reduced waiting times for reefer containers at Alexandria and Dekheila ports, with customs and storage moved inland.
The project will also improve connectivity between manufacturing sites, export ports, and consumption areas, while reducing the time required for inspections and customs clearance.
Statement from Leadership
Speaking about the signing, Minister of Transport Kamel Al-Wazir said the deal aligns with the state’s efforts to transform Egypt into a regional hub for transport, logistics, and transit trade.
He added that the ministry aims to establish 33 dry ports and logistics zones nationwide, and to implement seven integrated logistics corridors to connect industrial, agricultural, and mining areas with seaports.
Industry Perspective
For logistics investors, the Borg El Arab dry port is part of a broader national strategy. The ministry aims to establish 33 dry ports and logistics zones nationwide, alongside seven integrated logistics corridors linking industrial, agricultural, and mining areas to seaports.
For fresh produce exporters, this network of dry ports and logistics corridors offers several advantages. Moving customs clearance inland reduces congestion at seaports, shortening vessel turnaround times for reefer carriers.
Additionally, lower transport costs improve the export competitiveness of Egyptian citrus, onions, potatoes, and other perishable goods. Further, integrating railway networks with dry ports provides an alternative to road transport, reducing the risk of spoilage from highway delays.
As Egypt develops its network of 33 dry ports and seven logistics corridors, the country is positioning itself as a regional hub for transport, logistics, and transit trade.
For logistics investors, this creates opportunities in cold storage facilities, freight consolidation centres, and intermodal transport services linked to the expanding dry port network.
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