Work Begins on Bonded Zone at Hithadhoo Commercial Port

Work has commenced on the establishment of a bonded zone for the duty-free storage of essential food items at the Hithadhoo Commercial Port in Addu City, marking a key development project announced by President Dr Mohamed Muizzu.

A special ceremony was held in Hithadhoo to inaugurate new facilities at Hithadhoo Ports Limited (HPL), with the facilities officially inaugurated by the Minister of Economic Development, Mohamed Saeed.

As part of the initiative, an agreement was signed to introduce three key services at the port: bonded zone facilities for the storage of essential food items, bonded warehousing facilities, and bulk cargo handling facilities. The agreement was signed by Minister Saeed on behalf of the Ministry of Economic Development and by Mohamed Rishwan, Chief Executive Officer of Maldives Ports Limited (MPL).

HPL stated that the commencement of these services will reduce goods clearance fees and enable businesses in the southern region to import goods closer to their base of operations. The company noted that the benefits will extend beyond Hithadhoo, contributing to the wider economy of the southern atolls. HPL also indicated that the initiative is expected to have a positive impact on the construction sector in the southern region.

Hithadhoo Regional Port, which began operations 20 years ago, serves as the main port for the southern region and operates under MPL. The port plays a central role in supporting trade and economic activity across the southern atolls.

Minister Saeed stated that the establishment of bonded zone services at the Hithadhoo Commercial Port represents a significant step towards transforming Addu City into a commercial hub, in line with the vision of President Dr Mohamed Muizzu. He noted that an agreement between the Ministry of Economic Development and Maldives Ports Limited underpins the development of these services.

The minister also highlighted that the introduction of duty-free storage facilities at the Addu port fulfils a pledge made by President Muizzu during his Presidential Address. He noted that the initiative supports the broader objective of equipping Addu with the infrastructure and resources needed to produce goods and services.

In addressing the development of ports nationwide, Minister Saeed remarked that while the Maldives has major ports in both the northern and southern regions, trade development cannot be fully realised if these ports operate merely as satellite facilities. He emphasised that effective trade growth requires ports to be equipped with adequate resources and infrastructure, alongside potential regulatory and legal reforms and the development of additional facilities.