Businessmen upbeat about Karachi port upgrade plansBreaking

May 20, 2024

The entry of AD Ports Group in Pakistan’s maritime sector is likely to boost the activities at the Karachi Port, according relevant sources. Karachi Port Trust (KPT) and AD Ports Group signed a 50-year concession agreement for building a container terminal at East Wharf, Karachi Port, in June 2023. This followed the signing of a 25-year concession agreement for building a bulk and general cargo terminal at the port. This agreement signifies a joint commitment to strengthening Karachi's position as a strategic maritime hub in the region. Speaking to WealthPK, Raheel Monis, Karachi Gateway Terminal Limited’s (KGTL) Marketing and Commercial Manager, said that AD Ports Group would invest $220 million in the container terminal over the next decade. “With an additional $175 million earmarked for the multi-purpose terminal, the investment reflects KGTL's confidence in Karachi's potential as a key gateway for global trade.” KGTL has been established via a 50-year concession agreement between AD Ports Group and Karachi Port Trust with the aim of strengthening container capacity and enhancing efficiency to promote global trade. The strategic alliance between AD Ports Group and KPT is poised to open up new opportunities for economic development and trade expansion not only for Karachi but also for the entire region.

“With a shared vision of excellence and progress, this collaboration marks an important step in realizing Karachi's potential as a leading maritime destination.” Raheel added that the development marked the beginning of a transformational era of collaboration and investment. “KGTL's commitment to the development of Karachi Port is evident from the signing of two major concession agreements for container terminal and multi-purpose terminals.” “KGTL has offered to formulate a high-profile committee to look into difficulties faced by traders at the port,” said Saeed Shakir, a businessman, when meeting with the KGTL management a few days ago to seek facilitation for the business community. He said infrastructure development at the container terminal was going to cost $75 million in the next two years and another $100 million in the five years in order to bring world-class, cutting-edge and efficient infrastructure, machinery and technologies to Karachi Port. Saeed said the business community hoped for hassle-free clearance of cargo after the development of efficient infrastructure at the port. He said the business community had been concerned over delay in clearance of cargo as well as the high port charges for quite some time, and hoped that KGTL would rationalise the rates to benefit the exporters and importers.

Credit: Independent News Pakistan