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Feasibility Study for Free Trade Zone, Nacala, Mozambique

Project: Feasibility Study for Free Trade Zone, Nacala, Mozambique
Completion Date: 2007
Client: Millennium Challenge Corporation
Services Provided: Feasibility Study; Physical Evaluation.

Project Description

A feasibility study was undertaken to assess the economic and social viability of constructing a 45ha free trade zone (FTZ), incorporating industrial and business parks, in the northern Mozambique city of Nacala. The city has the finest natural deep-water harbour on the east African coast and is well-served by rail and road connections to northern Mozambique and the neighbouring countries of Malawi and Zambia. The study was to take into account other potential developments for the existing port, such as the proposed bulk coal harbour development to ship coal from the new Zambezi valley coalfields worldwide.

SIDC's parent company GARLAND carried out a physical evaluation of three potential sites in terms of:

  • Connectivity to the existing regional, national and local road network;
  • Extension of existing railhead;
  • Development or extension of port facilities;
  • Accessibility to airport;
  • Availability pf water supplies, electricity, telecommunications and wastewater treatment;
  • Construction requirements (soils, topography, etc.).

We also conducted discussions with local and national bodies, e.g. National Roads Administrations, National Water Authority, Nacala City Council and Mozambique electricity. GOI developed budget estimates for the construction costs for each site in terms of off-site and on-site facilities and utilities. There was an evaluation proposal for “fatal flaws” in terms of engineering developments and then draft proposals for initial and ultimate site layouts were prepared.