Friday, October 26, 2007

Port Rashid faces closure

A major part of Port Rashid, the lifeline of Dubai's foreign trade before Jebel Ali Port opened in 1979, may be closed late next year since it cannot accommodate large new-generation container ships.


The port located between the Palm Deira and The World cluster of man-made islands, has fallen out of favour with shipping companies, which prefer the region's biggest port, Jebel Ali, as their hub. Two big shipping lines, Evergreen and Cosco, moved to Jebel Ali last March, affecting the port's container business. DP World, the operator of Dubai ports, has been planning to halt container operations at Port Rashid for some time as the port's location close to the city's populated areas creates logistics and traffic problems. Close to Jebel Ali, Abu Dhabi is also developing the massive Khalifa Port that will have both container and general cargo operations. Port Rashid is likely to remain open to general cargo vessels and may have more cruise facilities.


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