Marketing-Börse PLUS - Fachbeiträge zu Marketing und Digitalisierung
print logo

UAE's AD Ports Group invests in Egyptian cruise terminals

UAE’s AD Ports Group is set to invest $4.7 million in developing and managing cruise terminals in Safaga, Hurghada, and Sharm El Sheikh.
© Unsplash

In a significant move to enhance Egypt’s cruise tourism sector, the UAE’s AD Ports Group is set to invest $4.7 million in developing and managing cruise terminals in Safaga, Hurghada, and Sharm El Sheikh. This investment aims to elevate the facilities and services at these terminals, positioning Egypt as a prime destination for cruise tourists.

Key Developments
  1. Investment Plan: AD Ports Group's $4.7 million investment will span over 15 years, with terminals expected to be operational by 2025. This funding will enhance terminal management, service quality, and accessibility for cruise operators, introducing new itineraries within the Red Sea cruise network.

  2. Strategic Agreements: The agreements were formalized in Cairo with the presence of high-profile officials, including Egypt’s Prime Minister Mostafa Madbouly and Minister of Transport Kamel El Wazir. The collaboration underscores the strengthening bilateral ties between Egypt and the UAE.

  3. Broader Initiatives: Besides the cruise terminals, AD Ports Group has signed 30-year concession agreements with the Suez Canal Economic Zone (SCZONE) to develop a Ro-Ro terminal and a cruise terminal at Sokhna Port. These agreements are part of a broader effort to enhance Egypt’s transport infrastructure.

  4. Tourism and Economic Goals: Minister El Wazir highlighted the government’s strategy to boost yacht tourism and reiterated that these partnerships do not involve selling port assets. The initiative is expected to increase cruise passenger capacity to 7.5 million annually, generating substantial revenue through direct fees and indirect spending by transit passengers.

  5. Commitment to Excellence: AD Ports Group's leadership expressed commitment to providing world-class facilities and services, aiming to strengthen Egypt's position in the global cruise tourism market. This investment aligns with Egypt’s broader development goals for the transport sector, integrating various modes of transportation and infrastructure improvements.

The UAE’s AD Ports Group's investment in Egypt’s cruise terminals marks a pivotal step towards enhancing the country’s cruise tourism infrastructure. This initiative not only aims to improve the quality and accessibility of cruise services but also to boost Egypt’s economy through increased tourism and stronger international partnerships.