Salalah Port cargo volumes surge in 2025

Salalah Port has reported a sharp rise in container and cargo throughput for 2025, signalling a strong rebound in regional trade flows and reinforcing Oman’s ambitions to position itself as a logistics gateway between Asia, Europe and Africa.

The port’s Container Terminal handled 4.3 million twenty-foot equivalent units during 2025, compared with 3.3 million TEUs the previous year, marking a 31 per cent increase. Overall cargo volumes also recorded solid growth, reflecting higher transhipment activity and stronger demand across key shipping lanes in the Indian Ocean.

Operated by APM Terminals in partnership with Oman’s Asyad Group, Salalah Port is one of the largest transhipment hubs in the region. The latest figures underline its recovery after a period of volatility in global shipping, driven by supply chain disruptions, fluctuating freight rates and geopolitical tensions affecting major maritime corridors.

Port officials attributed the growth to improved shipping line connectivity, expanded services and operational efficiencies introduced over the past year. Enhanced quay productivity and yard optimisation measures helped reduce vessel turnaround times, making the port more competitive for mainline carriers.

Industry analysts say the performance reflects broader shifts in maritime trade patterns. With congestion and security concerns impacting parts of the Red Sea and other traditional transit routes, some carriers have adjusted their networks, benefiting alternative hubs along the Arabian Sea. Salalah’s strategic location near major east–west shipping lanes allows it to serve as a transhipment point linking the Gulf, East Africa, the subcontinent and Southeast Asia.

The increase in container throughput also coincides with Oman’s continued investment in logistics infrastructure under its long-term economic diversification strategy. Authorities have sought to reduce reliance on hydrocarbons by strengthening ports, free zones and multimodal transport links. Salalah Port, alongside Sohar and Duqm, forms a core part of that strategy.

Data from previous years show that Salalah has consistently ranked among the region’s leading transhipment facilities, though volumes have fluctuated in line with global trade cycles. The 4.3 million TEUs recorded in 2025 represent one of the port’s strongest performances in recent history, approaching peak levels seen before the pandemic-era downturn.

Beyond containers, general cargo and bulk volumes also showed gains. Higher imports of construction materials and increased exports of minerals and manufactured goods contributed to the rise. Growth in reefer traffic, particularly agricultural exports from neighbouring markets, added to the momentum.

Executives at APM Terminals have emphasised digitalisation as a key driver of efficiency. Investments in automated gate systems, advanced planning software and data analytics have enabled better coordination between shipping lines, customs authorities and inland transport operators. These measures have helped manage higher volumes without significant congestion.

Shipping experts note that competitive port tariffs and reliable services are critical in retaining transhipment business, which can shift rapidly between hubs. Salalah faces competition from major regional ports in the Gulf and along the Arabian Peninsula, as well as emerging East African facilities. Maintaining service quality and deep-water capacity remains essential to sustaining growth.

The port’s deep natural harbour allows it to accommodate ultra-large container vessels, a factor that has become increasingly important as shipping lines deploy larger ships to achieve economies of scale. Berth upgrades and dredging works completed in previous years have strengthened its ability to handle these vessels efficiently.

Economic observers say the expansion in cargo volumes has wider implications for the Dhofar region. Increased port activity supports employment in stevedoring, logistics, warehousing and related services. It also boosts demand for transport and ancillary industries, contributing to local economic development.

Oman’s government has repeatedly highlighted logistics as a pillar of national growth, targeting higher contributions from non-oil sectors to gross domestic product. The strong showing at Salalah aligns with that objective, offering tangible evidence of progress in trade facilitation and infrastructure performance.

While the outlook remains positive, analysts caution that global trade conditions remain uncertain. Slower growth in major economies, shifts in manufacturing supply chains and evolving environmental regulations for shipping could influence cargo flows in the coming years. Ports that adapt quickly to changing market dynamics are likely to fare better.

Environmental sustainability is also gaining prominence in port operations. Salalah has introduced initiatives aimed at reducing emissions and improving energy efficiency, in line with broader international maritime targets. Shore power capabilities and greener equipment are under consideration as part of longer-term plans.