The National Company for Multimodal Transport (NMT), a subsidiary of Nile Logistics, announced on Sunday the launch of a new container transshipment service. The shipment service will transport containers via river barges between the Port Said and Sharq Al-Tafrea container terminals, located in Suez Canal. "This project came as a result of close cooperation between the Suez Canal Authority, the Egyptian Authority for Maritime Safety, the Suez Canal Container Terminal and Port Said Container Terminal among others," said Maged Farrag, the chairman of NMT. "We are particularly grateful to Admiral Mohab Mamish, head of the Suez Canal Authority (SCA), for his support and that of his team on this project," Farrag added. The studies conducted by the SCA and the port authorities indicated that the new transportation project will be beneficial to all parties involved, and on several fronts. The new service will eliminate the need for ferries, originally needed to cross the Suez Canal, and will help limit fuel consumption. A trial carried out by NMT confirmed that the use of inland barges can ship containers between the two terminals in less than an hour, compared to a minimum of 4-6 hours on average by truck convoys. Citadel Capital has an effective ownership stake of 37.9% in NMT, which is regarded as Citadel Capital's platform for investment in the river transportation sector. "In addition to reducing fuel consumption, easing road congestion and reducing accident rates, the transshipment service will create new employment opportunities for the residents of the Suez Canal region," said Citadel Capital Managing Director Ahmed El Sharkawy. Karim Sadek, also managing director of Citadel Capital, pointed out that "NMT has a notable ability to generate sustainable returns despite the current fuel subsidy programme, which favours less fuel-efficient modes of transport such as trucking." "It is also more efficient for clients, as containers were often rerouted to other Mediterranean countries before they reached their destinations at other Egyptian seaports," Sadek added. Citadel Capital reported that the launch of NMT's service will assist in drawing investment attention to the Suez Canal corridor, as well as expanding shipping and container activity at the Port Said terminal, which will help generate profit for the port authorities. The new project is said to start commercial operations in two weeks.
