Kulhudhuffushi industrial zone earmarked for state ownership to enlarge seaport

The state intends to remove part of HDh. Kulhudhuffushi from Kulhudhuffushi City Council's jurisdiction and convert it into state property, clearing the way for an expansion of the Kulhudhuffushi Seaport. The Gazette carried the notice, No. (IUL)13-D1/13/2026/219, on 5 November 2026. It is listed under the Ministry of Finance and Public Enterprises and relies on Article 56-2 (n) and (r) of the Decentralisation Act (Law 7/2010), as amended for the 19th time.

The land and the plan

The plot description appended to the notice places the site in the Kulhudhuffushi Industrial Zone area. STO, which leases land there for its Northern Distribution Centre, is one tenant; Handy Holdings Private Limited, which leases land for cold storage, is another.

The land detail gives no figure for the area to be taken. A second attachment, KPL Land Use Plan 2026 - v2 (revised Nov 2026), puts the port land at 57,934 sqm and the harbour basin at 55,479 sqm.

The project itself, as the land detail describes it, has three elements:

• moving the quay wall of the current multipurpose port, a container and general cargo facility, further out
• deepening the harbour to admit larger vessels
• running the port as a hub for containers shipped into the region by anchor (feeder) service, offering bonded and ordinary warehousing as well as a free zone

Consultation

The ministry will accept written comments or objections for 14 days from 5 November.

The law also requires that, where land lies within a council's jurisdiction, the council be given information and documents about it and be consulted, and that public views be sought.

The same law was used recently to move 14 plots out of Malé City Council's jurisdiction; that council is contesting the decision in court.