A Strategic Leap Towards Global Shipping Dominance
Iraq is making progress in transforming its role in global trade with the Grand Faw Port project. Recently, the country shortlisted 11 major international shipping companies for the port operation contract. According to Farhan al-Fartousi, Director General of the General Company for Ports, the final selection will be made in January 2025. Operations are set to start in 2026.
Top Companies Competing for the Contract
The shortlist includes leading names in the shipping industry, such as:
- China Merchants Port Group Co.
- Evergreen (Taiwan)
- CMA CGM (France)
- Mediterranean Shipping Company (MSC)
- Adani (India)
- International Container Terminal Services (ICTSI) (Philippines)
- Cosco (China)
- ABM Global Shipping LLC (UAE)
These top contenders show Iraq’s commitment to working with global leaders to boost its maritime capabilities.
Major Progress on the Ground
South Korea’s Daewoo Engineering & Construction recently completed five berths at the port. These were handed over to Iraqi authorities in a ceremony attended by Prime Minister Mohammed Shia al-Sudani. This handover marked a key phase of the project and set the stage for operations to start in 2026.
Strategic Importance for Global Trade
The Grand Faw Port will play a major role in global trade. By 2028, the port aims to handle 3.5 million containers annually at full capacity. This project is part of Iraq’s plan to create an efficient transport corridor between the Middle East and Europe, offering an alternative to the Suez Canal.
The Development Road: Connecting Asia to Europe
Iraq’s Development Road project is a $17 billion plan launched in 2023. It connects the Grand Faw Port to Turkey’s border via rail and road networks, making Iraq a crucial transit point. This route will shorten travel times and reduce costs, making it an attractive option for trade between Asia and Europe.
Regional Support and Economic Growth
The Grand Faw Port project has regional backing. In April, Iraq, the UAE, Turkey, and Qatar signed an agreement to work together on the Development Road project. This cooperation shows the port’s importance for Iraq and the wider region.
Transforming Iraq’s Economy
The Grand Faw Port and the Development Road show Iraq’s determination to strengthen its economy. By investing in top-notch infrastructure and forming partnerships with global leaders, Iraq is positioning itself as a major part of international trade routes.
Farhan al-Fartousi emphasised this vision by stating, “The Grand Faw port will be a pivotal hub for transforming global transport trade towards Europe via Turkey.”
Western Thoughts
The Grand Faw Port is set to change regional and global trade. This project, which is expected to operate at full capacity by 2028, offers an alternative to the Suez Canal. With operations beginning in 2026, Iraq is moving forward with its vision to become a vital player in global trade. These steps will boost the economy and strengthen Iraq’s role as a transit hub in the Middle East.