Enab Baladi – Lama Diab
Ports in Syria represent a strategic window in the Eastern Mediterranean. Their location, linking Asia to Europe and Africa, places them on the map of investors, with international efforts already underway to invest in them.
Syrian Minister of Transportation, Yarub Suleiman Badr, stated in a meeting with Turkish Foreign Economic Relations Board Chairman, Nail Olpak, that the Syrian government wishes to cooperate with investors to operate some ports and facilities.
Olpak, commenting on the Syrian minister’s statements, said that investing in ports is one of the areas that can be entered into quickly, as the facilities are already established but inactive, meaning they are not starting from scratch.
Ports play a significant role in the economy of countries, facilitating the movement of 90% of global goods, making them a fundamental pillar for attracting investments.
Investing in ports
The Director of Local and International Relations at the General Authority for Land and Sea Ports in Syria, Mazen Alloush, told Enab Baladi that Syria possesses several major seaports, the most notable of which are Tartus, Latakia, and Baniyas, alongside other facilities under rehabilitation and development.
All these ports are currently operated directly by an administration linked to the General Authority for Land and Sea Ports, and the contract for operating the container terminal at Latakia Port has been renewed with a specialized French company.
Alloush indicated that the process for investing in ports will depend on competitive offers, whether through direct advertisement or negotiations with qualified companies. Any country or company committed to the specified laws and conditions can apply for investment, in accordance with national security requirements and public interest.
Investment conditions
Regarding investment conditions and value, Alloush explained that the conditions include:
Enjoying financial solvency. Technical expertise in operating and managing ports. Providing a clear development plan for the facilities. Commitment to environmental standards and international criteria. Respect for national sovereignty and adherence to applicable laws.The expected investment value varies according to the nature of the project, ranging from tens of millions of dollars to hundreds of millions, based on the project’s size and the port facility involved, along with the expansion or development requirements, according to Alloush.
He pointed out that the challenges include: the need to update infrastructure, dealing with regional and international economic changes, rehabilitating some docks and basins, in addition to logistical challenges linked to transport networks related to ports.
Investment in updating and expanding ports contributes to enhancing their operational efficiency and increasing their capacity to receive goods and passengers, thereby strengthening the country’s connection to regional and global markets, and supporting trade exchange as well as increasing exports and imports, according to Alloush.
Among the most notable successful models is the public-private partnership (PPP) system, where risks and benefits are distributed between both parties, in addition to long-term concession models and management and operation contracts committed to development.
Customs duties
Regarding the evaluation of returns from investment, Alloush clarified that the evaluation is based on precise criteria that include: shipping and handling volumes, direct and indirect financial returns, the impact of investment on local economic development, and achieving strategic goals such as activating transit and supporting foreign trade.
Concerning the impact of customs duties and tax policies, he confirmed that they directly affect the attractiveness of investment. Therefore, the authority seeks to adopt a favorable customs and tax policy characterized by clarity and stability, providing real incentives for investors in the maritime and logistics sector.
Alloush added that the state is working on upgrading docks, deepening water basins, and modernizing equipment, in addition to expanding logistics facilities connected to ports, in line with international standards to accommodate large ships and modern tankers, enhancing the position of Syrian ports as pivotal points in regional and international trade.
The authority is fully committed to providing a stimulating and secure investment environment and looks forward to forging successful strategic partnerships that contribute to advancing the maritime transport sector and supporting the national economy, according to Alloush.
Expected benefits
The General Director of Ports in Syria, Adnan Haj Omar, explained to Enab Baladi that there are many international experiences that show that involving the private sector in operating ports and public facilities yields enormous economic benefits, especially in countries seeking to rebuild their infrastructure and enhance their regional competitiveness. Among the most significant direct and expected economic benefits are:
Massive direct investments pumped into infrastructure, contributing to the rapid and systematic development of maritime facilities. Transfer of technology and expertise: private companies introduce modern technologies and advanced operational methods as well as trained human resources to enhance performance efficiency from day one. Improving operational efficiency: thanks to specialized expertise, private companies can enhance loading and unloading processes and reduce waiting times. Increasing government revenues: through partnership contracts, governments receive a share of profits or concession fees, naturally enhancing their financial resources. Stimulating the local economy: improving port performance boosts trade, thus stimulating local industries and providing new job opportunities. Enhancing regional competitiveness: efficiently managed ports contribute to attracting more shipping lines and strengthen the country’s position as a regional logistics center. Supporting supply chains and export and import activities, which reflects positively on the vitality of related industrial, agricultural, and service sectors.Regarding economic feasibility, the operation projects of ports through partnerships with specialized companies depend on comprehensive feasibility studies prepared by national teams in cooperation with financial and technical experts, based on accurate analyses of expected economic returns, both direct and indirect, according to the Director of Ports, Adnan Haj Omar.
France invests in Latakia… Tartus awaits
The General Authority for Ports signed an agreement with the French company CMA CGM at the People’s Palace in Damascus on May 1, in the presence of the transitional president of Syria, Ahmed al-Sharaa.
The Director of Latakia Port, Ahmad Ali Mustafa, previously stated to Enab Baladi that the previous contract between the French company and the previous regime, which was renewed in November 2024 for operating the container terminal at Latakia, has been suspended. The Syrian government has since taken over and is arranging a new contract with new details.
The new agreement, according to the port director’s statement, sets the contract duration at 30 years, during which the company will invest 230 million euros. In the first year, the company will inject 30 million euros.
In the following four years, a new dock will be built at Latakia Port with internationally standard specifications, 1.5 kilometers long and 17 meters deep, with an investment value reaching 200 million euros.
The construction of this dock will allow large cargo ships to enter in significant numbers, which currently do not enter Latakia Port, as well as providing the infrastructure needed for its operation.
After the fifth year, the fruits of this investment will begin, and funds will start flowing through it over the next 25 years.
The company had renewed its contract with the previous regime in October 2024 for 30 years, according to a previous statement by the director of the Syrian program at the Syrian Observatory of Political and Economic Networks, Karam Shaar, to Enab Baladi.
At that time, expectations were that the company would renew its contract for five years.
The French company also renewed its contract with the previous regime in 2019 after the end of its first contract in the same year, as the first contract from 2009 provided for a renewable term of five years upon the parties’ agreement.
Termination of Tartus Port investment
The Director of Customs in Tartus province, Riad Joudi, stated in statements reported by the newspaper Al-Watan on January 19 that the agreement with the Russian company for the operation and investment of the strategic Tartus Port on the Mediterranean has been canceled.
He added that all port revenues will now go to the benefit of the Syrian state, and workers will be returned to their positions at the port, in addition to rehabilitating the port’s outmoded mechanisms, which were used by the company without any updates as stipulated in the agreement. A study has been prepared for the status of the mechanisms, rapid maintenance, and necessary updates, while buildings and yards are being prepared and necessary staff are being secured to meet all needs and serve the port.
The Assad regime had signed a contract in 2019 with the Russian engineering company Stroytransgaz to manage Tartus Port for 49 years.
Syrian Minister of Transportation, Ali Hamoud, stated at the time that Stroytransgaz would also invest more than 500 million dollars in the port, and under the contract, the Russian company would receive 65% of the port’s profits while the remaining 35% would go to the Syrian state.
A private source told Enab Baladi that there are agreements with major global companies in the field of port and maritime management around the world, working to invest in Tartus Port, and that announcements about this will be made soon.
Investing in ports: A leap forward for the economy in Syria Enab Baladi.
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