What happened?
DP World has signed a 50-year concession agreement with the Fujairah Ports Authority to develop and operate two new multipurpose ports in Fujairah.
Who is affected?
Shipping companies, importers, exporters, logistics businesses, vehicle transport operators and businesses that rely on UAE trade routes.
Why does it matter?
The new ports will increase the UAE’s cargo handling capacity, improve supply chain resilience and strengthen Fujairah’s position as a key maritime gateway outside the Strait of Hormuz.
DP World has signed a 50-year agreement to develop two new ports in Fujairah, creating a major expansion of the UAE’s maritime and logistics network. Announced by DP World and the Fujairah Ports Authority, the agreement covers Al Rugaylat Port and Dibba Port, both located on the UAE’s east coast along the Arabian Sea. The development will increase cargo capacity, strengthen supply chains outside the Strait of Hormuz and improve connections with Jebel Ali Port, making it an important project for businesses that depend on regional and global trade.
In the presence of the Crown Prince of Fujairah, DP World and Fujairah Ports Authority reach an agreement in principle to develop two new terminals on the UAE’s east coast under a 50-year concession.
— Dubai Media Office (@DXBMediaOffice) July 22, 2026
Al Rugaylat Terminal
– 2.5 million TEU annually
– 1.7 million tonnes of… pic.twitter.com/JvaiRRgyA7
What does the DP World Fujairah port agreement include?
The long-term concession agreement was signed in the presence of Sheikh Mohammed bin Hamad bin Mohammed Al Sharqi, Crown Prince of Fujairah.
According to DP World, the project will transform Al Rugaylat Port and Dibba Port into modern multipurpose terminals capable of handling different types of cargo.
Once completed, the facilities will offer:
- Al Rugaylat Port
- Capacity to handle 2.5 million TEUs (twenty-foot equivalent units) annually
- Up to 1.7 million tonnes of general cargo each year
- Around 190,000 car equivalent units (CEUs) annually
- Infrastructure capable of accommodating ultra-large container vessels
- Dibba Port
- Annual general cargo capacity of 3.6 million tonnes
- Facilities designed for multiple vessel and cargo types
Both ports will also include dedicated logistics zones to support storage, distribution and inland transport.
Why is Fujairah becoming more important for global shipping?
Fujairah occupies a unique position on the UAE’s eastern coastline, providing direct access to the Arabian Sea without ships having to pass through the Strait of Hormuz.
This strategic location has become increasingly valuable as governments and shipping companies look to diversify trade routes and improve supply chain resilience.
The new terminals will complement—not replace—existing operations at Jebel Ali Port. Instead, they will give businesses greater flexibility when moving cargo across the UAE and international markets.
According to DP World, cargo will be connected through its domestic logistics network between Fujairah, Jebel Ali Port and Jebel Ali Free Zone (JAFZA), allowing smoother movement of goods across the country.
How will the project strengthen the UAE’s logistics network?
The agreement is expected to significantly expand DP World’s handling capacity within the UAE.
Once the Fujairah terminals become operational, DP World’s annual container capacity across the country is expected to increase from 19.4 million TEUs to nearly 22 million TEUs.
The expansion will also increase capacity for:
- General cargo
- Roll-on/roll-off (RoRo) operations
- Vehicle handling
- Warehousing and logistics services
DP World Group CEO Yuvraj Narayan said the additional infrastructure will provide greater flexibility for cargo owners while helping support growing trade volumes as Jebel Ali continues to operate at high utilisation.
The project also supports the UAE’s long-term ambition of remaining one of the world’s leading logistics and trade hubs.
What does the project mean for Fujairah’s economy?
Beyond shipping, the development is expected to generate wider economic benefits across Fujairah.
The emirate already plays an important role in oil storage, bunkering and maritime services. The addition of two large commercial ports is likely to increase demand for:
- Warehousing
- Freight forwarding
- Road transport
- Customs services
- Supply chain management
- Distribution centres
While DP World has not announced investment figures or employment forecasts, industry experts expect the expanded infrastructure to attract additional logistics and industrial businesses to the emirate over the coming years.
The agreement also aligns with Fujairah’s broader strategy to strengthen its position as an international maritime, logistics and energy hub.
When will the new Fujairah ports be completed?
Construction will take place in phases.
According to DP World, development is expected to take approximately 24 to 30 months from the start of construction.
An official opening date has not yet been announced, and neither DP World nor the Fujairah Ports Authority has disclosed the total value of the investment.
Further updates are expected as work progresses.
Why It Matters?
The project is more than just a port expansion.
For UAE businesses and residents, it means:
- More resilient supply chains with additional cargo routes.
- Greater capacity for imports and exports as trade volumes continue to grow.
- Improved logistics efficiency by connecting Fujairah with Jebel Ali through DP World’s domestic network.
- Long-term economic opportunities through increased investment in transport and logistics.
It also reinforces the UAE’s position as a global trading hub by providing another major maritime gateway on the Arabian Sea.
FAQs
Why is DP World developing new ports in Fujairah?
The project will expand the UAE’s cargo handling capacity, improve supply chain resilience and provide an additional gateway outside the Strait of Hormuz.
Which ports are included in the agreement?
The agreement covers Al Rugaylat Port and Dibba Port in Fujairah.
How much additional container capacity will the project add?
Al Rugaylat Port alone will handle up to 2.5 million TEUs annually, increasing DP World’s UAE capacity to nearly 22 million TEUs.
When will the new ports open?
Construction is expected to take around 24–30 months, although an official opening date has not yet been announced.
Will the new ports replace Jebel Ali Port?
No. According to DP World, the Fujairah terminals will complement Jebel Ali by providing additional capacity and improving cargo movement across the UAE.
The new 50-year agreement between DP World and the Fujairah Ports Authority marks another major investment in the UAE’s transport and logistics sector. By expanding cargo capacity on the Arabian Sea coast and strengthening links with Jebel Ali, the project is expected to improve supply chain resilience while supporting Fujairah’s growing role as a regional maritime hub. As construction progresses over the next few years, the development is set to play an important role in the UAE’s long-term trade and economic ambitions.
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