Dubai: The falling oil price and cost of marine bunker fuel will translate to higher profitability and economic growth, according to Sultan Ahmed bin Sulayem, chairman of DP World.
The Dubai-based container terminal operator plans to double investment in its network in 2015, spending to up to $1.9bn this year in a bid increase its container handling capacity by 14%.
The falling price of oil, bin Sulayem told Dubai press, will stimulate growth in energy-dependent economies such as India and China, which rely on overseas producers to supply them with oil.
“When these engines of growth begin to rise so does the rest of the world,” Sulayem told local press. “As a barometer of world trade,our operations can benefit should there be an increase in trading activity.”
The price of Brent crude is currently around $50 a barrel, about half the level seen six months ago.
DP World says it will invest between $500m and $700m in its container terminal network between 2016 and 2020.
The operator aims to handle more than 80m teu this year, up from 70m teu in 2013, thanks to capacity expansions at its terminals in in Jebel Ali, Dubai; Turkey, Rotterdam and India. [08/01/15]