Market Size of UAE Container Terminal Operations Industry
| Study Period | 2019 - 2028 |
| Base Year For Estimation | 2022 |
| Forecast Data Period | 2024 - 2028 |
| Historical Data Period | 2019 - 2021 |
| CAGR | > 6.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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UAE Container Terminal Operations Market Analysis
The size of United Arab Emirates Container Terminal Operations Market is USD 1.57 billion in the current year and is anticipated to register a CAGR of over 6.5% during the forecast period.
- The supply chain in the maritime industry faced a series of challenges with the onset of the COVID-19 pandemic. Port closures due to coronavirus outbreaks, port congestions, rising prices of bunker fuel, and problems with capacity utilization were plaguing the global marine port services industry for most of 2020 and 2021. Due to the pandemic, the volume of containers transported shrank by about 0.3 percent in 2020. On the other hand, the recent spike in container freight rates turned out extremely profitable for marine port services operators, who reported record high-profit margins in 2021.
- Container terminal services are complex and mainly depend upon the nature of shipment and cargo. The cargo can comprise cars, merchandise, crude oil, minerals, etc.
- A different set of machinery, expertise, and manpower is required to handle and manage various types of cargo. For instance, ferry services require different types of ports for their handling. The lack of efficiency in operations at the container terminal is not desirable and can also lead to accidents. Therefore, container terminal operations should be highly efficient and flawless. Container terminal operations are the core of the maritime industry.
- The growing complexity of port operations in the United Arab Emirates has led to extensive diversification and enhancement of port infrastructure and technology. To improve productivity, the UAE ports are integrating more technological and automated solutions, such as robotics, artificial intelligence, and IoT.
- With the advent of digital technology, ports have become more automated, with interconnected supply chains and limited manpower to perform operations. As a result, various investments are being made in port automation to increase port efficiency.
- For example, in 2021, Abu Dhabi Ports Group and France-based CMA CGM Group invested approximately USD 153.9 million in the new Khalifa Port Terminal, intending to create a semi-automated container port throughout the construction of the GCC region.
- In 2022, Middle East ports occupied four of the top five spots in the second edition of the Global Container Port Performance Index (CPPI), developed by the World Bank and S&P Global Market Intelligence.
