Salalah Port Reports Growth In Volumes, Revenue For 2017
Port of Salalah, one of the largest multi-purpose ports in the Middle East region, recorded significant growth in both container and general cargo volumes during 2017.
‘Despite uncertain global economic circumstances, the year 2017 ended on a positive note with both container terminal and general cargo terminal showing a growth over the previous years’, Salalah Port Services Co (SPSC) said in its directors’ report submitted to the Muscat Securities Market.
The port’s container terminal handled 3.94mn twenty-feet equivalent units (TEUs) in 2017 compared to 3.32mn TEUs in the previous year, recording a growth of 19 per cent. SPSC said it has retained all its major customers while a major customer’s share of business increased by 22 per cent compared to year 2016.
Port of Salalah’s general cargo terminal handled 13.58mn tons volumes during 2017, a growth of four per cent over 2016. ‘The general cargo terminal continues to grow, albeit at a slower pace as compared to the previous years, driven by the growth of aggregates business’, SPSC said.
SPSC’s consolidated revenues rose 3.9 per cent to RO57.03mn for the year ended December 31, 2017. Its consolidated net profit was recorded at RO5.21mn for 2017 as compared to RO5.72mn during the previous year.
‘The drop in profit is attributable mainly to changes in Oman tax laws requiring the company to provide a higher tax liability of RO1.7mn, higher costs arising from withdrawal of fuel subsidy by the government, higher staff costs and repair and maintenance costs to attend to ageing equipment’, the company said.
SPSC said the container shipping industry has been through very turbulent times in past three years, but it does appear that things are settling down and will be calmer in 2018. ‘Although we have seen a slight reduction in volumes from the peaks in 2017, the volume development is expected to be more stable in 2018 due to commitments from our shipping line partners’.
Source: Muscat Daily