Hutchison Ports Sohar: Thriving Through Global Shipping Challenges while achieving Record Growth and Sustainability Milestones in 2024

2024 has been a year of both significant challenges and remarkable achievements for the global container shipping industry, which is responsible for transporting 80% of the world’s traded goods. The industry has grappled with increased ship waiting times, rising freight rates, and ongoing complexities in the Suez Canal due to the Red Sea situation, among other hurdles.

Amid these global challenges, Hutchison Ports Sohar is proud to announce that its transshipment volumes have more than tripled compared to last year, resulting in an impressive 26% year-on-year growth in the first half of 2024.

A collaborative initiative by Hutchison Ports Sohar and Sohar Port & Freezone, with the backing of Customs and various other authorities, the land-bridge solution has proven to be a critical asset. It ensures the smooth flow of cargo to-and-from countries within the Arabian Peninsula and beyond, providing vital support to both regional and global trade during these challenging times. The terminal’s exceptional performance is underscored by its seamless 24/7 operations with no congestion issues, ensuring uninterrupted service around the clock. An impressive achievement amidst regional congestion challenges experienced in other ports in the region.

Thanks to the dedicated efforts of our team, Hutchison Ports Sohar is a step closer to joining the 1.0 million TEU club. This milestone highlights our strong customer relationships, well-trained Omani workforce, and an effective Business Continuity Management strategy, said Anacin Kum, Chief Executive Officer, Hutchison Ports Sohar.

As a common user terminal, Hutchison Ports Sohar welcomed 12 new customers in the first half of 2024, bringing the total number of active customers to 175. These include carriers, non-vessel operating common carriers (NVOCCs), and feeder operators, demonstrating the terminal's growing appeal and effectiveness in meeting diverse logistical needs.

We are very pleased that Hutchison Ports Sohar is ensuring a smooth supply chain via SOHAR into/out of the region during these turbulent times. SOHAR serves as the gateway for Oman, responsible for more than 70% of Oman’s volumes. The sharp rise in transshipment volumes underlines SOHAR Port and Freezone’s ambition to develop into a regional transshipment hub. The excellent cooperation is valued and SOHAR Port and Freezone is ready to support Hutchison Ports Sohar in their efforts to further boost efficiency as well as the shared ambition to become net zero in line with Oman’s Vision 2040, said Emile Hoogsteden, Chief Executive Officer, SOHAR Port.

“I couldn't be prouder of the dedication and achievements of the team at Hutchison Ports Sohar. Our mission in Oman has always centered on continuous and shared development. The progress we've made in the Sultanate, while not without its challenges, has been made possible through unwavering support of Sohar Port & Freezone and valuable guidance from the Ministry of Transport, Communications and Information Technology. We remain committed to advancing with the same enthusiasm, driving sustainable development for both the terminal and the nation”, added Andy Tsoi, Managing Director of Hutchison Ports Middle East and Africa

Hutchison Ports Sohar's resilience in the face of challenges demonstrates its unwavering commitment to operational excellence and dedication to the group’s sustainability strategy. In alignment with this vision, the terminal has invested in a cutting-edge, solar-powered Integrated Inspection Facility. This state-of-the-art facility not only enhances national security but also streamlines the cargo clearance process, significantly improving operational efficiency.

This investment marks the beginning of Hutchison Ports Sohar’s commitment to sustainable development in the Sultanate of Oman. The terminal remains steadfast in its dedication to fully support Oman’s Vision 2040 for a net-zero future. In the coming years, Hutchison Ports Sohar will initiate a series of strategic investments, including the introduction of electric autonomous trucks, the electrification of all major equipment, and the implementation of a second phase of solar energy project.

Hutchison Ports Sohar’s ongoing success and expansion are a testament to the unwavering dedication of its team, strategic leadership, and robust customer relationships. As the terminal continues to navigate the complexities of global trade and regional challenges, its commitment to excellence and sustainability remains the driving force behind its achievements.