Bahri Group and Koninklijke Bunge B.V. have signed agreements to establish a leading ocean freight supplier for dry bulk in and out of the Middle East region.
The Joint Venture, which will operate under the name Bunge Bahri Dry Bulk Ltd., will provide exclusive freight transporta[ds_preview]tion services plans to ship over 5 mill. t in year one, ramping up volume over time to double-digit figures. BDB and Bunge will own 60:40% of the joint company respectively, and it will be registered and based in Dubai. Financial terms of the agreements were not disclosed.
»We expect the Joint Venture to become a carrier of choice for customers importing grains and other agricultural commodities in the Middle East, as well as for dry bulk exports outside of the region«, saidBunge is excited to partner with BDB to strengthen our presence in the Middle East,” said Brian Thomsen, Managing Director at Bunge.
»Working with a leading global player in commodity trading brings the necessary commercial and market intelligence to dry bulk supply and demand fundamentals,« said Ibrahim Al-Omar, Chief Executive Officer at Bahri.
The Joint Venture, which will be financed pro rata by BDB and Bunge, will charter and commercially operate Supramax- and/or Panamax-sized dry bulk vessels, initially from the fleet currently owned or managed by BDB and subsequently from third parties.
Established in 1978, Bahri is the national shipping arm of the Kingdom of Saudi Arabia. It has six business units that include oil, chemicals, logistics, dry bulk, ship management, and data. The Company is the second largest owner of Very Large Crude Carriers (VLCCs) in the world, and the largest owner of chemical tankers in the Middle East. Presently, the company owns 84 vessels, including 37 VLCCs, 36 chemical/product tankers, 6 multipurpose vessels, and 5 dry-bulk carriers with additional 9 VLCCs on order.
Bunge Ltd. is a leading global agribusiness and food company operating in over 40 countries with approximately 32,000 employees. Founded in 1818, the company is headquartered in White Plains, New York.
