The firm will offer services to firms through the center, such as warehousing and inventory management, order fulfillment, customs facilitation, transportation coordination, and value-added services such as consolidation, packaging, repackaging, labeling, and product customization.
DP World Sokhna Logistics Park inked 3 agreements with companies to expand their storage and integrated logistics warehouse handling services in the Suez Canal Economic Zone’s (SCZone), according to a cabinet statement.
The park, which spans 300,000 square metres, is Egypt’s first fully integrated, automated logistics distribution center. DP World has invested $80 million in developing the logistics park within the Sokhna area.
The agreements were signed with KTDA DMMC, the commercial, marketing, and international trading subsidiary of Kenya Tea Development Company (KTDA), Premium-Line Middle East, Africa, the regional branch of German network infrastructure manufacturer Premium-Line Systems, as well as consumer goods distributor Middle East Logistics Services (MELC).
The agreements aim to enhance the companies’ trade, regional and international supply chain efficiency as well as strengthen Egypt's position as a regional and global trade hub. Its transit trade volume surged by 35 percent year-on-year in the first quarter of 2026.
Egypt has been bolstering efforts to localize industries and develop its logistics system, especially as the US-Israeli war on Iran has impacted global trade. Additionally, the closure of the Strait of Hormuz has forced the Gulf economies to consider maritime alternatives such as Egypt’s Suez Canal.
DP World has invested over $1.4 billion so far to develop integrated logistics infrastructure in Egypt. It has modernized Ain Sokhna Port, expanded the development of Ain Sokhna Logistics Park, and is constructing a new cold chain facility that is currently under development.
Contracts signed
The first contract, 2,000 square metres at the park, was allocated for KTDA DMCC. KTDA manages, markets, and distributes Kenyan tea in the Middle East, Europe, and Asia.
It handles 1,000 TEUs annually to Egypt and will utilize their space as a regional inventory hub, increasing the efficiency of distribution to several international markets.
While MELC was allocated 5,300 square metres for a temperature control facility to support its operations in eight markets, including Saudi Arabia, the Levant, and the Horn of Africa.
MELC provides warehousing, handling, and distribution services and is a logistics partner managing regional operations of major consumer brands and multinational corporations in the region.
Additionally, Premium-Line was allocated 1,000 square metres within the customs warehouses to increase its distribution and re-export capabilities in Egypt, North Africa, and the GCC countries. The firm specializes in network infrastructure solutions and fiber optic and copper cabling in the Middle East and Africa.
The park is located adjacent to Ain Sokhna Port. In 2008, the Sokhna Port Development Company, the concession holder and operator of Sokhna Port, was sold, and its ownership was transferred to DP World.
This is part of ongoing expansions to the SCZone to improve its storage efficiency, handling, redistribution, and re-export system and maximize its benefits support.
Meanwhile, DP World is planning on expanding its investments in Egypt’s manufacturing sector, specifically in the SCZone, as the country possesses significant untapped manufacturing, investment, and logistical potential, and enjoys a unique location, the firm’s Chairman Essa Kazim stated during a meeting with Prime Minister Mostafa Madbouly and SCZone Chairman Walid Gamal El-Din.
The UAE’s appetite for Egyptian investments has been growing, with Emirati investments reaching $30 billion in 2021. Recent major investments include the $3.1 billion Majid Al Futtaim mixed-use urban project in New Cairo and the $35 billion Ras El-Hekma project, which is one of the largest foreign investments in Egypt.
Total investments for Ras El-Hekma are expected to reach $150 billion over the life of the development. Abu Dhabi-based investment holding company, Emirates ADQ acquired the development rights for Ras El-Hekma for $24 billion and is investing $11 billion in real estate and other key projects across Egypt alongside acquiring stakes in three Egyptian oil companies.
The center will support local industries as it provides industrial centers and end markets with faster access to materials inventory and raw materials closer, which will help reduce delivery times, enhance supply chain resilience, and support business continuity.
It will also enable the firms' access to the Egyptian market through the center to serve customers while retaining ownership of inventory until final distribution, to store their inventory “close to consumers and serve multiple markets from a single regional hub,” according to Executive VP of DP World Egypt Mohamed Shehab.
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