Business August 30 2026

Port Authority seeks design studies for mixed-use Port in St Thomas, marina in Hanover

Updated 2 hours ago 2 min read

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The Port Authority of Jamaica (PAJ) has moved a step closer to developing two new ports at opposite ends of the island.

The PAJ opened a competitive tender for engineering design studies covering a proposed “mixed-use port at Yallahs in St Thomas and a marina at Lucea in Hanover”, marking the first concrete procurement step towards two infrastructure projects that the Government flagged earlier this year.

The tender invites bids for conceptual design work on both sites under a single contract funded by the Government of Jamaica. Submissions close September 9, with the Port Authority targeting contract award by October 7 and a delivery deadline next March.

Prime Minister Dr Andrew Holness first disclosed plans for the Yallahs facility during his contribution to the 2026-27 Budget Debate in March. The port was originally conceived as an aggregate export terminal to serve construction demand in regional markets such as Guyana and Suriname, but the Government expanded the scope after Hurricane Melissa exposed the vulnerability of Jamaica’s southern coastline and the risk a major storm would pose to the Port of Kingston.

The precise location of the port was not disclosed, but in 2013 plans were floated to develop Cow Bay in Yallahs, St Thomas, as a port.

Holness said the facility would have mixed-use capacity, similar to the Reynolds Pier in St Ann, and could serve as a backup to Kingston in the event of a natural disaster. The Yallahs site was selected for its coastal depth, proximity to quarry operations and road access via the recently completed highway to St Thomas.

The Lucea marina component received less public attention in the Budget Debate but appears in the tender as a parallel design assignment.

“The PAJ’s focus for the 2026/27 financial year will remain centred on the sustainable expansion and development of Jamaica’s ports and associated infrastructure, while preserving financial viability to support continued investment in economically and environmentally sound projects,” stated the Jamaica Public Bodies Estimates published by the Ministry of Finance.

The PAJ has budgeted $10 billion for capital projects this fiscal year, led by its development of the Caymanas Special Economic Zone. During the year, the authority will complete land acquisition to facilitate the commencement of infrastructure works at the zone.

In 2025, Hurricane Melissa caused damage to cruise terminals in Montego Bay, Falmouth and Ocho Rios, resulting in the temporary suspension of cruise calls and the rerouting of itineraries.

“Recovery and rehabilitation works were completed, with full resumption of cruise operations as of mid-December 2025,” stated the document.

Despite the disruption, cruise arrivals are projected to slip to 1.21 million this fiscal year from 1.33 million passengers in the fiscal year ended March 2026.

The PAJ projects a surplus of $3.7 billion, down from $4.35 billion a year earlier.

business@gleanerjm.com