Salalah Port records significant growth in container and cargo volumes
Port of Salalah recorded significant growth in volumes at its container terminal and general cargo terminal during the first half of 2018.
The port’s container terminal handled 1.76mn TEUs (twenty-foot equivalent units) during the first six months of 2018, which is a ten per cent increase against the same period of last year. Its general cargo terminal handled 7.59mn tons of cargo during the first half of this year, an increase of 12 per cent compared to the same period of 2017.
However, there has been a significant drop in volumes at the Port of Salalah after Cyclone Mekunu, Salalah Port Services Company (SPSC) said in its financial report submitted to the Muscat Securities Market.
The company said despite taking reasonable precautionary measures to safeguard people and property, Cyclone Mekunu caused significant damages and destruction to property, equipment and infrastructure at the port.
‘A detailed assessment of the damage is under progress, in addition, loss adjustors from insurance company too are assessing the damages.
The port is adequately insured for property and business interruption’, SPSC said.
Revenues at general cargo terminal grew 17 per cent in the first half of 2018 while container terminal revenues increased four per cent during the same period compared to a year ago.
SPSC said the port’s first half year performance until the time of the cyclone was better than the same period of 2017, but due to the cyclone the port operations were severely impacted and overall results remained subdued.
The company’s consolidated net profit came at RO767,000 for the first half of 2018 compared to RO303,000 in the corresponding period of last year.
‘As the insurance claim assessment process is ongoing no claims receivables have been factored in the provisional results’, it added.
SPSC said the escalating trade war between the US and its major trading partners coupled with current US international policy decisions will impact global GDP growth and thus seaborne trade globally. ‘These conditions are likely to impact the Port of Salalah in various ways that needs to be closely monitored’.