DAHEZ to be hub of automotive business in Djibouti

Dubai, July 5, 2007: Dubai Customs World, which successfully manages the Customs department in the Republic of Djibouti, on Thursday (July 5) signed an agreement to establish and operate an automobile and heavy equipment free zone in the East African country.

The accord to develop and manage the Djibouti Automobiles and Heavy Equipment Zone (DAHEZ) was signed here by Hamad Mohammed Fadhel Al Mazrooei, CEO, DC World, and HE Ali Farah Assoweh, Minister of Finance, Republic of Djibouti.

Under the agreement, DC World has acquired 570,000 square meters of land set aside specially for the purpose of locating the Special Economic Zone. 

The far-reaching plan was first proposed by DC World earlier this year with the strategic goal of creating a much-needed transport service infrastructure to support Djibouti's pivotal role as the commercial gateway to East African hinterland.

Mr Al Mazrooei said:

"DAHEZ will compliment the sophisticated facilities already built and operated by DC world and our sister companies in the Dubai World group, DP World, Jafza and Nakheel.  We strongly believe that the automotive zone will is a vital infrastructure link in the supply chain network the Government of Djibouti has been putting together with vision and commitment for the past six years.  DC World is absolutely determined to ensure the success of this long-term investment."

The first phase of the development will include about 100 open showrooms for cars, and trucks, and heavy equipment, warehouses, workshops and huge parking lots for the vehicles.

Mr Assoweh said:

"The Djibouti Automobiles and Heavy Equipment Zone will serve the increasing demand for transport-related services in Djibouti, which has become one of the busiest commercial transit points in East Africa.  We believe that DC World, following their commendable performance in transforming Djibouti's customs administration, is eminently suited to provide the right leadership to the DAHEZ project.  This is a strategic move that will further strengthen the modernization process that is changing the face of Djibouti.  Our aim is to make DAHEZ a regional hub for Automobiles and Heavy Equipment trade and services."

Located strategically at the southern entrance to the Red Sea, Djibouti's modern port and sophisticated customs point have emerged as the transit route of choice for goods headed for east and central Africa.

The proposed automotive zone will serve as the pit-stop for thousands of heavy vehicles that transit through Djibouti every day, carrying cargo and containers from the country's ports to neighbouring Ethiopia. 

This traffic is expected to increase steadily as the Free Trade Area agreement among the Common Market for South and East Asia (COMESA), including Djibouti, is implemented in the years ahead.

Among the facilities the DC World plan outlines for DAHEZ are such services as customs operations, automobile servicing, vehicle auctioning and accessories, leasing, insurance, registration services, warehousing, banking, shipping agencies and retail food outlets.

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For more information, please contact:
George Geagea
Media Executive
World-View Communications
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Dubai,
UAE
Tel:+971 4 8818808
Fax:+971 4 8817722
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Email:george.geagea@wvc.ae

© Press Release 2007