AD Ports Group acquires majority stake in Georgia's Tbilisi Dry Port

UAE-based port operator the AD Ports Group has completed its acquisition process of the Tbilisi Dry Port in Georgia, thus making the group the majority owner with a 60 per cent stake.

The rail-linked and custom bonded intermodal logistics hub in Georgia's capital city is scheduled to become operational in October of this year. The acquisition strengthens the AD Ports Group’s role in connecting Asia and Europe, via the Middle Trade Corridor, linking manufacturing centres in Western Asia to the consumer markets of Eastern Europe.

The new hub is strategically positioned between the Caspian Sea and Black Sea, at the heart of the Middle Corridor, and integrates multiple facilities including a container freight station, warehouses, and a car storage park. Serving as a crucial point of entry, exit, and regional transit, it accommodates manufacturers, shippers, and consignees moving containers, vehicles and various goods for distribution and storage.

The project has direct westward railway links to Turkey and the Georgian ports of Poti and Batumi, further connecting European Black Sea ports in Bulgaria and Romania.

The project will be completed in three phases. AD Ports expects that, by the end of the initial phase, the handling capacity will reach 96,500 TEUs, with 10,000 square metres of warehouse space and a car storage yard.

Upon the completion of phase three, the project will have a handling capacity of 286,000 TEUs, 100,000 square metres of warehouse space, and a significantly expanded car storage yard. Further land plots have already been secured and can be developed as and when needed.

The Middle Corridor is regarded as the shortest trade route between Asia and Europe, covering approximately 7,000 kilometres and requiring a journey of 10 to 15 days. The existing Northern Corridor covers about 10,000 kilometres overland, requiring 15 to 20 days, while the Southern Ocean Route spans approximately 20,000 kilometres, requiring a sea voyage of 45 to 60 days.

The Middle Corridor will serve considerable growth in container volumes, which has the potential to reach 1.9 million TEUs by 2040.