The renovation of the Port of Nacala in Nampula province, in north Mozambique, will transform it into one of the most modern in southern Africa.
With a total investment of around US$277.5 million from the Japanese Development Agency, work should be completed in April 2023.
With three terminals for general and bulk cargo, liquids and containers, Nacala deep water port is already registering growth in volumes handled, reaching 2.8 million tons in 2021.
The present renovation will increase cargo handling capacity from 100,000 20-foot containers per year to 250,000, with storage increasing from 5,000 to 8,000.
Vessels of up to 80,000 tons will be able to berth, while the maximum capacity of quayside equipment will increase to 50 containers per hour.
The port of Nacala is situated on Bengo Bay, the deepest natural bay on the east coast of Africa.
The Nacala harbour serves its own hinterland and landlocked Malawi to the west, which is served by a 914-kilometre railway line.
The Nacala port and railway concession is held by Portos do Norte SA, a consortium that includes the Brazilian mining group Vale Mozambique.
Cargo handled includes cement, petrol, grains, coal, containers, and various construction materials.
A new coal port is planned in Nacala Bay, Nacala-a-Velha to export coal mined near Moatize in Tete Province.