KPT eyes 100% increase in Direct Shipping, Pre-filing cuts clearance to 90 hours
KARACHI (Staff Report): Chairman Karachi Port Trust (KPT) Rear Admiral (Retd) Shahid Ahmed has announced that MSC’s new direct European service will commence from October 26, with a target to increase direct shipping services by at least 100 percent by December, a move expected to save the business community Rs 30 to 40 billion annually.
Addressing the Karachi Chamber of Commerce and Industry (KCCI) on Monday, the Chairman said cargo unloading time will reduce from seven days to just 1 to 1.5 days with the arrival of larger vessels, while dependence on foreign ports for transshipment will significantly decrease. He said Karachi Port has already achieved 34th position among nearly 980 ports in the Global Liner Shipping Connectivity Index.
Urging importers, customs agents and clearing brokers to make pre-filing of Goods Declarations (GDs) a routine, he revealed a stark difference in clearance time. Cargo with advanced GD filing is being cleared in about 90 hours, compared to 296 hours without pre-filing. He said this practice can reduce terminal congestion and business costs and invited KCCI to submit comprehensive proposals on operational issues.
Giving an update on infrastructure, he said nearly 90 percent of the long-delayed dredging project is complete and the main channel depth has been increased to 14.5 meters. The remaining work will be completed in the next 30-40 days, increasing the approach channel depth to 16 meters to accommodate larger vessels.
The Chairman said KPT and terminal operators have made heavy investments in the last 8-10 months. KPT has cut transshipment-related charges by about 80 percent, while terminal operators are offering 25 percent discount and 14 days free facility to attract transshipment and transit cargo. Off-dock facilities with a combined capacity of about 150,000 have also been developed.
Highlighting new avenues in the maritime sector, he said over 160 vessels have arrived in Pakistani waters for the bunkering facility. He estimated that the bunkering business could exceed Rs 300 billion annually in the next two to three years, creating new opportunities for refineries and maritime businesses.
On modernization, he said AI-based bulk cargo operations, automated equipment, Vessel Traffic Management System and ERP systems are being introduced with an expected investment of Rs 2 to 2.5 billion. Online services and e-tendering are being introduced for transparency.
The Chairman said KPT has retrieved over 250 acres from encroachments and mangrove restoration on 4,000 acres is underway. A trash skimming vessel with capacity to collect 100 tonnes of garbage daily has been ordered from Karachi Shipyard.
He said importers pay Rs 140 to 160 billion annually as Sindh Infrastructure Development Cess (SIDC) and KPT is demanding that a portion of it be allocated for roads linked to Karachi Port and Port Qasim. The Sindh government has assured allocation of about 100 acres near Northern Bypass for a truck terminal.
Chairman Businessmen Group Zubair Motiwala and KCCI President Talat Mahmood appreciated KPT’s performance but demanded fixed timelines for cargo clearance, accountability for delays, risk-based profiling with Green Channel for compliant businesses, and a permanent liaison committee among KPT, Customs and terminal operators.