With a five-berth container terminal and an initial handling capacity of 3.5 million TEU, Iraqi officials announced that the first phase of the Grand Faw Port is on its way to completion.

The Grand Faw Port project started 13 years ago in Iraq, al-Basra, with the intention of making it one of the largest ports in the Persian Gulf. However, domestic and regional instabilities hindered the progress.

This month, the Iraqi Minister of Transport announced that 78% of the first phase is complete. He added that 50% of the planned 1200-km rail network connecting Iraq with Turkey has also been finalised.

With this project, Iraq seeks to create an attractive rail alternative to the Suez Canal, where cargo can be easily transported between Asia and Europe.

Iraq forecasts the completion of the second phase by 2038. In that year, earnings are estimated to reach USD 4 billion from the port and rail network projects.

The new port is being built on the coast of the Persian Gulf in an area of 54 square kilometres. Local news reveals that the budget allocated for the port exceeds USD 5 billion.

Upon completion, it will have the capacity to receive ships with a draft of 19 metres – something that is not yet possible in any of the country’s ports.