Joint venture between MSC Cruises and Africa Armada Consortium to build two-berth terminal
By
Rebecca Gibson |
South Africa's Transnet National Ports Authority (TNPA) has named KwaZulu Cruise Terminal (KCT), a joint venture between MSC Cruises and Africa Armada Consortium, as the winning bidder to build a new R200 million (US$15 million) cruise terminal in Durban.
KCT will design, finance, construct, operate and maintain the two-berth cruise terminal for a 25-year concession period in the Port of Durban. The new facility will help Durban to become a more attractive port of call for international cruise lines.
“Despite the pressures of the global economic climate on disposable incomes, the global luxury cruise sector remains one of the fastest growing segments in the tourism industry and has the potential to grow the economy and create jobs,” said Richard Vallihu, chief executive of TNPA. “The Durban cruise market had grown from 75,947 passengers ten years ago to 191,412 passengers last season. Already we have at least 20 international cruise liners operated by 14 cruise lines calling at South Africa’s ports.”
MSC Cruises holds 70% of the shares in KCT and has more than 13 years of experience of operating cruise terminals in ports around the world, including in Marseille, France; Genoa, Civitavecchia and Naples, Italy. Africa Armada Consortium owns 30% of the shares in KCT and aims to empower black investors to participate in economic activities, in particular port and logistics developments.