Karachi Port achieves highest-ever annual cargo handling, Senate committee told

Karachi Port Trust

Chairman Karachi Port Trust (KPT) on Tuesday informed the Senate Standing Committee on Maritime Affairs that the port has achieved its highest-ever annual cargo handling, registering a nine percent growth in container handling during the last year.

The chairman shared these details during a meeting of the Senate Standing Committee on Maritime Affairs, chaired by Senator Muhammad Fesal Vawda, where key operational, infrastructure, and governance matters of the maritime sector were reviewed, with special focus on port performance, dredging operations, land management, and export facilitation.

Port Expansion and Infrastructure Development

Briefing the committee, the KPT chairman said that work is underway to increase the port’s draught depth, enabling it to handle vessels of up to 100,000 tons. He added that KPT is also developing the largest Bulk Export Facility, which will have a storage capacity of 8 million tons.

He further informed that clinker export volumes are expected to rise to 8.5 million tons, almost double the current volume of 4.5 million tons, significantly boosting Pakistan’s export potential. Among approximately 400 operational ports worldwide, KPT currently ranks at 90th position, reflecting steady progress in performance and efficiency.

The chairman also highlighted that continuous dredging operations are being carried out to maintain navigational depth and ensure uninterrupted port operations.

Focus on Governance, Land Management, and Transparency

The meeting reviewed critical governance challenges, including land management and encroachments. Senator Fesal Vawda directed that all pending land allotments be reviewed and illegal allotments cancelled, stressing the urgent need to vacate encroached land.

The committee was informed that 239 containers are currently delayed at the Karachi International Container Terminal (KICT), mainly due to customs-related delays and issues involving international shipping companies. It was further revealed that corruption amounting to nearly $40 million annually is allegedly linked to container clearance, with approximately Rs112,000 taken per container.

The committee directed KICT management to immediately clear the backlog and take strict action to eliminate corruption, emphasizing transparency and accountability.

Concerns Over Fisheries Harbour Authority

Senator Fesal Vawda also raised serious concerns regarding the Fisheries Harbour Authority (FHA), stating that transparency is lacking and significant land mismanagement has occurred at Korangi Fisheries Harbour. He alleged that certain officials are illegally sharing staff salaries with senior officers in exchange for absenteeism, directing strict disciplinary action against those involved.

The committee observed that several boards operate autonomously without effective oversight and require immediate review. Senator Vawda stressed the need to restructure or eliminate ineffective board members to improve governance and efficiency across maritime institutions.

Government’s Reform Agenda

Minister for Maritime Affairs Muhammad Junaid Anwar assured the committee that the ministry is moving in a positive and reform-oriented direction. He acknowledged that systemic challenges cannot be eliminated overnight, adding that the ministry is adopting a step-by-step reform approach.

He also highlighted the establishment of Pakistan’s National Dredging Company, aimed at reducing operational costs and providing more affordable and efficient dredging services, which will be beneficial for exporters and port operators.

Responding to queries by Nadeem Bhutto, officials informed the committee that dredging work worth $60 million has been allocated to AD Port Company, while the remaining projects have been assigned to the National Dredging Company. Going forward, all dredging operations will be undertaken by the National Dredging Company to ensure cost-effectiveness and operational efficiency.