Mozambique has moved to reposition the Port of Nacala as a competitive regional gateway through a new international concession tender that is expected to draw interest from global terminal operators, including those already active in African port management such as Africa Global Logistics (AGL) and DP World.

The Council of Ministers has authorized the Ministry of Transport and Logistics to seek private partners to finance, modernize, and operate the port under a concession framework, while the Mozambican state retains ownership of the infrastructure. The move reflects a broader policy shift toward private-sector-led efficiency and investment in strategic logistics assets.

Located in Nampula Province, the Port of Nacala is Mozambique’s largest natural deep-water harbour and a critical maritime gateway along the Nacala Corridor, which connects the coast to inland markets in Malawi, Zambia, and other landlocked economies. Despite having a current capacity of about 10 million tons annually, the port handled only 3.5 million tons in 2024, translating to roughly 35 percent utilization — a gap authorities believe can be addressed through improved operational management and targeted investment.

The integrated expansion project will focus on optimizing the existing container, general cargo, and liquid bulk terminals while introducing new logistics components, including dry ports, a special economic zone, and a floating dry dock to support marine services. Industry observers note that operators with experience in integrated logistics chains are well-positioned to align port operations with inland transport networks and regional trade flows.

Government spokesman Inocêncio Impissa said the objective is to unlock Nacala’s latent capacity and position it as a cost-competitive alternative within Southern Africa’s port system. Authorities expect modernization to reduce cargo dwell times, lower transport costs, and improve reliability for corridor users.

“This concession is about positioning Nacala as a cost-competitive and reliable logistics platform capable of supporting regional trade growth. We are creating conditions that will attract global operators and unlock capacity that has remained underutilized for years,” said Impissa.

President Daniel Chapo had previously emphasized the strategic importance of the corridor, calling for increased international investment to accelerate its full operationalization and strengthen Mozambique’s role as a regional logistics hub.

With recent agreements signed between Mozambique and neighbouring landlocked countries to strengthen joint use of the corridor, the planned concession is widely seen as a decisive step toward transforming Nacala into a fully integrated logistics platform capable of competing with established regional ports.