High Shipping Costs Are Here to Stay, Says Bloomberg
By Henry Ren (Bloomberg) Stubbornly high shipping expenses for businesses are getting sealed into contracts for the next 12 months, forcing companies to pass the extra costs on to consumers....
A Chinese-built port for shipping livestock from Sudan’s Red Sea coast will be completed by year-end, the latest African component of Beijing’s Belt and Road Initiative, a Sudanese company official said.
Constructed by China Harbour Engineering Co. and located in Haidob, 60 kilometers (37 miles) south of Port Sudan, the facility is being primed to help transport cattle, camels and sheep for mainly Asian markets, according to the state-run Sea Ports Corp.’s general director, Onour Mohamed Adam.
Livestock exports are a potential growth area for economically ravaged Sudan, which has invested a total of 120 million euros ($142 million) in the port, Adam said in an interview.
China Harbour, which worked for three years on the project before suspending in 2017, has since renewed its agreement with Sudan’s transitional government. Sea Ports will operate the facility, Adam said.
Haidob would be another link in China’s modern-day adaptation of the Silk Road, which aims to revive and extend its routes to Europe and Africa with upgraded or new railways, ports, pipelines, power grids and highways. At least 157 nations and international organizations have signed up, with Morgan Stanley estimating spending will total $1.3 trillion by 2027.
Adam said the financing for the port came from the Finance Ministry’s domestic revenue and didn’t mention any overseas funds.
Sudan, where long-time dictator Omar al-Bashir was ousted last year amid mass protests, has also earmarked $300 million for a 10-year plan to develop Port Sudan’s facilities, Adam said. Sudan’s state-run Military Industry Corp. will perform the work.
© 2020 Bloomberg L.P
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