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Logistics

CMA CGM expands operations in Morocco with new port venture

30 Oct 2024 - by Staff reporter
Morocco’s Nador West Med Port. 
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French shipping giant CMA CGM has announced its latest strategic move to enhance its presence in Morocco, signing an agreement with local port and terminal operator Marsa Maroc to manage half of the new east terminal at the Nador West Med Port.

The facility, in the far northeast of the country, is set to boast a capacity of 1.2 million twenty-foot equivalent units (TEUs) once fully operational.

Analysts from Alphaliner have noted that Morocco is attempting to replicate the success of its Tanger Med port, which is currently the largest container terminal in the Mediterranean.

With four container terminals already operational at Tanger Med, the Nador West Med port aims to establish itself as a significant hub approximately 250 kilometres east of Tanger (Tangier), further bolstering Morocco's position as a key player in African maritime logistics.

CMA CGM's investment in Nador West Med marks its third port venture in Morocco, complementing its existing terminal operations at Eurogate Tanger and Somaport in Casablanca.

This expansion aligns with broader trends in global shipping, where companies are increasingly seeking to diversify their operations amid shifting trade dynamics and geopolitical tensions.

The move comes at a time when many shipping lines are reassessing their routes and service offerings, particularly as they move away from over-reliance on traditional markets such as China.

Emerging markets like Morocco are becoming increasingly attractive for shipping lines looking to mitigate risks associated with global supply chain disruptions.

As CMA CGM continues to enhance its infrastructure and service capabilities in Morocco, the company is poised to play a pivotal role in supporting the country's ambitions to become a leading container destination in Africa.

The development of Nador West Med port is expected to not only improve local logistics but also enhance connectivity between Morocco and international markets, further solidifying its strategic position in global trade.

Port development progress in the north-west African country has also been vouched for by cross-border trade facilitator for the sub-Saharan region, Mike Fitzmaurice.

The chief executive of the Federation of East and Southern African Road Transport Associations visited Morocco last week as a guest of the African Union, and said Morocco’s port network was so advanced that the Maghreb Corridor, which connects Mauritania, Morocco, Algeria, Tunisia and Libya, was not as important for hinterland freight as regional corridors were down south.

He said: “Their port system is incredible. Everything works. I think when something is moved in their region it is mostly along the coast.”

However, the country's own Moroccan Corridor, connecting interior nodes of commerce and industry such as Marrakech, Fes and Oujda with Agadir, Rabat, Casablanca and Nador on the coast, is regarded as one of the most well-run port-hinterland networks in Africa.

Oujda, on Morocco’s border with Algeria, lies due south of Nador.

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