Not just any port in a storm: Egypt is taking its first steps toward integrating smart technologies across its ports, with Ain Sokhna, Damietta, Alexandria, and Port Said ports all exploring automated port services like ship docking systems, digital registries for goods and containers, and systems that facilitate unloading and the circulation of transport vehicles, a government source in the maritime transport sector told EnterpriseAM. These services aim to transform Egypt into an integrated logistics zone, all the while increasing port efficiency and positioning us as the region’s transport hub of choice.

What’s a smart port, anyway? At its core, a smart port uses digital tools — like the Internet of Things (IoT), AI, and big data — to streamline operations and reduce costs. These technologies support automated equipment, real-time monitoring, and advanced analytics, which together enable ports to make data-informed decisions that optimize efficiency and improve safety. For Egypt, smart port integration could mean smoother operations, lower emissions, and the potential for higher regional competitiveness.

The drive to modernize Egypt’s ports has gained traction in the last few years: In 2021, Alexandria Port Authority activated Egypt’s first system to track ship movements and maritime incidents on interactive GPS maps. Since then, other ports have jumped on the automation bandwagon, with all four ports in question implementing an automated system for truck reservations based on customs release schedules, reducing congestion within ports and near docks, the source told EnterpriseAM. All ports are now equipped with information infrastructure, fiber-optic lines, and an environmental safety network for waste management.

Digitization has been a key factor: Digital upgrades — like East Port Said Port’s introduction of electronic gates and prepayment for trucks and cars entering the port — aim to trim efficiency losses and save on the time and effort of both employees and the public. The Egyptian Authority for Maritime Safety, for instance, has digitized its document cycle using an electronic archive, saving employees significant work. It also provides several services to the public on its website, including an electronic payment system, reducing workloads and providing a convenient option for customers.

Damietta Port provides one example of the possibilities on offer: The Damietta Port Authority uses automated systems to track goods that have not yet been released and those in transit, as well as systems that recognize trucks and equipment — all accessible from the same platform. It also has a system for dispensing and adding warehouse items, allowing monitoring of item movements across all the authority's warehouses. The port’s operations are also integrated with government entities via the CIT Ministry’s integrated government gateway.

The Nafeza platform — first launched in 2021 — has also been a game changer for ports, allowing users to track their shipments simply through a touch of a button on their phones, a government official from Nafeza told EnterpriseAM. The Finance Ministry’s digital customs system provides a one-stop-shop for the trade community to submit all documents and conduct all transactions in one place — whether customs, regulatory, or port-related. It also operates under international standards for facilitating the release of goods and has helped push Egypt in the direction of becoming a unified logistics zone — a project that could get a boost with the inclusion of air cargo into the Nafeza system by 2025, the source adds. The Finance Ministry plans to build on this in the coming period by cutting customs release times down to less than two days, a Customs Authority source tells us.

Challenges on the road to smart ports: Despite these promising developments, Egypt’s logistics and port industries face some major obstacles. Legacy infrastructure and limited resources make it difficult to deploy compatible technology across all port activities. The expansion of port facilities throws another factor into the mix, with these areas needing to be integrated into systems alongside existing and much older port facilities. There are also regulatory and cybersecurity challenges that come with digitizing port operations, which require considerable investment and specialized skills development.

Automation solves some issues, but it isn’t a panacea, Secretary-General of the Chamber of Transport and Logistics Amr El Samadony told EnterpriseAM. Despite steps forward in automation, overly stringent procedures and document requirements continue to delay release operations — particularly as Egyptian ports grow in size, Samadouny noted. Simplifying customs procedures and payment processes themselves would be just as useful to importers, and would actually enhance the efficiency of digital transformation at Egypt’s ports, he said.

We also have some pretty serious regional competition: Egypt’s neighbors in the GCC have made impressive strides in integrating smart port technology, with ports like Jebel Ali in Dubai and King Abdullah Port in Saudi Arabia using AI, blockchain, and 5G to push operational efficiency and sustainability. While these advanced capabilities offer a competitive edge, Egypt’s strategic location and its recent steps toward digitalization could still position it as a strong player in the region, if we move quickly.

There’s still significant room to grow in the smart ports arena: Many ports around the world are using AI to implement predictive maintenance and scheduling, with these systems helping ports anticipate breakdowns and optimize ship docking schedules. Automated vehicles and equipment like cranes are also capable of working around the clock with precision, increasing productivity and reducing the possibility of human error. This can yield real reductions in the cost of doing business, with China’s port operator Tianjin Port Group and Huawei estimating that their automation solutions — like integrated AI, IoT, cloud computing, and autonomous trucks — have reduced necessary work personnel by 60%.

Your top infrastructure stories for the week:

• Telecom Egypt and Vodafone Egypt signed EGP 30 bn worth of commercialagreements to enhance infrastructure services and accelerate the rollout of 5G technologies. The partnership includes extending Telecom Egypt’s messaging services agreement with Vodafone Egypt until 2031, a four-year fiber optics connection agreement, and new agreements for virtual fixed and internet services.
• Siemens has completed construction of a EGP 385 mn power transformer station that will feed the eighth industrial zone expansion in Sadat City. The 220/66/22 kV station will power the 1.5k-feddan industrial expansion area, as well as electricity networks in the southern and western extensions.
• Egypt and Djibouti inked an MoU to jointly develop infrastructure projects, pointing to ports, roads, logistics zones, and renewable energy facilities as projects that Egyptian companies could offer their expertise and experience for.