BERBERA DEVELOPMENT COMPANY
Berbera Development Company Limited (BDCL) is a joint venture between a large and successful Somaliland business group, MSG Holding, owned by Mohamed Said Guedi, and a UK syndicate of businesspersons with experience in the country and region. Rekindling the historic ties between Somaliland and the UK, the new partnership is indicative of the new relationship and the new way forward for the country. BDCL combines the best of Somaliland with experienced international financial, legal and security expertise.
The Government of Somaliland has entrusted BDCL with the critical task of enabling and facilitating the redevelopment of Berbera port through a Public Private Partnership. BDCL have been mandated to foster key development as well as procure investment and expertise for the entire project. BDCL provides the country with extra capacity and capability to enable its 2020 vision plan. Berbera presents a huge amount of opportunity. Ethiopia’s population has doubled in the last 20 years to approximately 90 million people. Ethiopia is now enjoying some of the fastest GDP growth rate in the world.
Berbera port will ultimately act as a hub to allow vital imports and exports within the region. The will assist with vital trade growth in the region.
The country of Djibouti, which has extensive port facilities, is currently being used as the primary means for Ethiopia to bring in goods and services to the country. Djibouti port’s are at full capacity and there is a need for an alternative for Ethiopia. Berbera port, when fully developed will be this alternative. It is perfectly positioned to pick up the sizable market of this fast growing market.
Opportunities being progressed by BDCL include:
The existing port facility has seen little investment over the last 20 years. It is however possible to significantly increase capacity through modernization.
The new development of the port will see it expand and transform into a modern international port. With its modernization, we anticipate significant infrastructure development and this will bring benefits to everyone within Somaliland.
The oil terminal had been run by a private contractor up until 2011 but had been underutilized and under resourced. The government resumed control and are now looking to develop this asset. BDCL are mandated by the Somaliland Government to find organisations to run and develop the port.
With the development of the oil industry in East Africa, there is a need to develop Berbera into a regional hub for the refining of oil.
Free Trade Zone
It is intended for the Free Trade Zone to be built on a phased basis in conjunction with the development of the Port and the Airport.
There will be a need to develop the life support services to maintain and enhance international companies looking to do business in Berbera and Somaliland.