Home / This Week / Cover Stories / What we know about PNSC

What we know about PNSC

FORMATION OF PNSC

Pakistan National Shipping Corporation (PNSC) was established through an Ordinance XX of 1979 that merged two shipping companies, National Shipping Corporation (NSC) and Pakistan Shipping Corporation (PSC). Administration of the affairs and business of the Corporation was vested in the Board of Directors.

BUSINESS OPERATIONS

PNSC is engaged in the following sea transportation trades i.e.:

  1. Dry Bulk Cargo and
  2. Liquid Bulk Cargo (Crude & White Oils)
  3. Slot/NVOCC Services

PNSC has been operating in Dry Bulk market for a long time. PNSC has transported raw material such as Iron Ore for Pakistan Steel Mills in the past. The Corporation acquired Five (5) Bulk Carriers b/w FY 2010-12 and now operates a fleet of Six Bulk Carriers operating worldwide.

PNSC has been involved in transportation of Liquid Bulk Cargo since 1998 through chartering in of foreign ships for carrying Pakistan’s refineries cargo by participating in open tenders until 2002. The same is now being carried in PNSC owned tankers under a Contract of Affreightment (COA) with three refineries PARCO, PRL and NRL. Corporation now has a fleet of Four modern double hull tankers and undertakes business internationally and carried crude oil for India, Kenya, Sri Lanka and Singapore.

PNSC provides NVOCC Services through slot arrangements for imports of goods by Government Departments and Autonomous bodies. PNSC has carried strategic and defense cargo through Slot/NVOCC Services.

PERFORMANCE OF PNSC

a- Financial Performance of PNSC

PNSC not only has increased the total freight movement but has also ventured in white and black oil transportation. These commercial moves have enabled PNSC to move out of cyclic profit/loss has continued its journey of profitability since 2001 onward. Profit after tax for FY 2017 nine months ended on 30 March 2016 was Rs. 1.36 billion. Table below gives the PNSC financial performance since 2002:

Year No. Ships Profit / (Loss) After Tax Rs.000
2002 14 496,390
2003 13 615,740
2004 14 1,782,990
2005 14 2,898,540
2006 15 1,427,550
2007 14 2,336,873
2008 14 2,448,880
2009 11 2,312,842
2010 10 967,824
2011 11 1,007,272
2012 9 753,155
2013 9 1,991,339
2014 9 2,149,057
2015 9 2,116,410
2016 9 2,323,000
2017 (9 Months) 9 1,363,916

b- Commercial Performance of PNSC

The cargo movement of PNSC has substantially increased. In year 2000, PNSC transported 3.95 million tons of cargo, which was 10.73% of Pakistan’s total sea borne trade that was 37.60 million tons. In FY 2017, PNSC transported 14.332 million tons of cargo which is 15.95% of total country’s sea trade that was 89.852 million tons.

YEAR PAKISTAN’S SEA TRADE
(Million Tons)
PNSC CONTRIBUTION
(Million Tons)
PNSC CONTRIBUTION (%)
FY 2000 37.60 3.95 10.51%
FY 2010 61.00 7.92 12.98%
FY 2011 62.00 9.33 15.05%
FY 2012 63.30 10.31 16.28%
FY 2013 64.21 13.39 20.85%
FY 2014 67.77 17.914 26.43%
FY 2015 74.38 16.40 22.05%
FY 2015 74.38 16.40 22.05%
FY 2016 83.286 13.33 16.00%
FY 2017 89.852 14.332 15.95%
ANNUAL FLEET DEVELOPMENT PLAN

PNSC is working on acquisition of two Aframax crude oil tankers and one LR-1 product tanker for transportation of black oil & white oil imports of Pakistan through PNSC’s own funds. Further PNSC is also working on acquisition of two ROPAX Ferries, one for Karachi – PQA route and second for Karachi – Gwadar – Chahbahar route.

PNSC GOVERNANCE STRUCTURE

PNSC has developed a good governance system which includes following:

– Compliant of Code of Corporate Governance 2012.
– Compliant of PPRA-2004.
– Compliant of all applicable rules and regulations of KSE.
– Shore Management ISO-9001:2008 certified.
– Ships – Certified to International Standards of IMO.
– Youngest fleet since 1979.
– Credit Rating by PACRA (being maintained since 2010).
Long term “AA”
Short Term ” A1+ ”
– SES (Ship Expert System) – Monitoring ship operations round the clock.

Check Also

Islamic finance education in Pakistan – challenges and growth

Islamic finance education in Pakistan – challenges and growth

Islamic finance industry in Pakistan has witnessed a strong growth in Pakistan over the last …

Leave a Reply