Mozambique’s government has approved a plan for the Caminhos de Ferro de Moçambique (CFM), the national railway company, to lead the development of a major new logistics terminal in Dondo. The terminal, which will cover 70 hectares with room for future expansion, is being created to help manage growing demand for the port of Beira from neighboring countries.
The decision, announced through a recently approved government resolution, allows CFM to receive the project through a direct award. A special negotiation team will now begin drafting the concession contract for designing, building, operating, and maintaining the new terminal, which will be located in Sofala province in central Mozambique.
According to the Ministry of Transport and Logistics, Beira Port has become one of the most important logistics hubs in the region. It plays a vital role in the Beira Corridor and serves several landlocked countries, including Zimbabwe, Zambia, Malawi, and the Democratic Republic of Congo. These countries rely heavily on Beira for the movement of fuel, agricultural goods, minerals, and other essential products.
However, the port has been struggling to keep up with this increased activity. The government notes that storage areas and access roads at Beira are frequently congested. Long queues of trucks form at the entrances and exits, slowing down operations and increasing transport costs. This congestion also affects overall road safety and reduces the efficiency of the entire corridor.
To address these challenges, the government has directed CFM to take charge of the Dondo Logistics Terminal project. The new facility is expected to ease pressure on the port by creating additional space for cargo handling, storage, and customs processing. It will function as a dry port, allowing some logistics activities to move away from the crowded Beira waterfront.
The government says CFM is well suited to lead the project because it has the necessary technical skills, financial strength, and long-standing experience in logistics infrastructure development. The plan also allows CFM to work with established private-sector partners, especially those with strong experience in designing and operating dry ports.
The concession will be carried out through a consortium that includes CFM, MPDC (the company that manages Maputo Port), the Sofala Business Council, and the Municipality of Dondo. These groups will collaborate to ensure the terminal meets regional needs and supports Mozambique’s long-term logistics strategy.
The project fits into the government’s wider plan to transform the country’s logistics corridors into competitive revenue centres. Officials say Mozambique wants its transport routes — especially corridors like Beira, Maputo, and Nacala — to operate at high regional standards so they can attract more international cargo and investment.
Under the resolution, the Minister of Transport and Logistics, João Matlombe, has 90 days to present the full concession contract and an accompanying decree for official approval.
Once completed, the Dondo Logistics Terminal is expected to reduce congestion at Beira Port, speed up cargo movement, cut transport delays, and improve supply chain efficiency across Southern Africa. For the countries that depend on the Beira Corridor, the new terminal could become a major step forward in building a more reliable and competitive regional logistics network.