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PNSC foresees short, medium and long term growth plan

Undertaking an analysis of facts and figures available in Economic Survey of Pakistan FY2018-19, Pakistan National Shipping Corporation (PNSC) has planned Fleet Development Program (FDP) into short, medium & long term. PNSC has presently acquired two (02) LR-1 product tankers, which will increase PNSC’s cargo carrying capacity and would further contribute to rise in revenue generation of the Corporation. While, in medium term PNSC intends to enlarge its dry bulk and liquid fleet and also intended to get into transportation of LNG and LPG business. However, in long term the ultimate objective of corporation is to improve and sustain deadweight carrying capacity of over 1.5 million tons by 2025.

Its present fleet consists of 11 vessels with a total deadweight (DWT) capacity of 831,711 metric tons and contributes significantly to Pakistan’s imports and export volumes whereas on the other hand operate globally earning foreign exchange for the government exchequer. Officials of the corporation mentioned that PNSC is the custodian of Pakistan’s illustrious shipping heritage and is Pakistan’s national flag carrier. PNSC has strived to fulfill its duty to the nation towards offering Pakistan a reliable and dedicated shipping service thus representing the nation in the worldwide shipping arena. PNSC has evolved into an industrial provider of maritime freight services directly to producers, refineries and end-users of raw materials and commodities. PNSC’s commercial and financial profile has enhanced significantly in present years.

Fleet Strength
Vessel NameBullt Deadweight Length Overall Gross
MTMMT
M.T. QUETTAJAPAN 2003107,215240.8058,119
M.T. LAHOREJAPAN 2003107,018246.8058,157
M.T. KARACHIJAPAN 2003107,081216.8058,127
M.T. SHALAMARJAPAN 2006105,315228.0055,894
M.T. BOLANKOREA 201374,919220.8942,411
M.T. KHAIRPURKOREA 201274,986220.8942,411
Bulk Carriers
M.V. CHITRALJAPAN 200346,710185.7326,395
M.V. MALAKANOJAPAN 200476,860225.0040,040
M.V. HYOERABADJAPAN 200462,951188.5029,385
M.V. SIBIJAPAN 200928,442169.3717,018
M.V. MULTANJAPAN 200260,244180.8027,086
Total831,711455,043
Source: Economic Survey FY2019,

The Corporation continues to maintain an enviable long term credit rating of AA from PACRA. These achievements could not have been possible without the focus and dedication from PNSC’s management including staff. With these achievements, PNSC is poised to take advantage of opportunities by its fleet development plan and through venturing into commercially viable projects related to the Gwadar Port and to CPEC. Economic Survey also identified that the corporation attained substantial growth in revenue of 35 percent in managed bulk carrier segment and growth of 28 percent in liquid cargo segment by its managed vessels. The present Government of Pakistan encouraged the use of alternative energy, which is cost effective, and environment friendly as against to furnace oil. Restrictions were imposed on import of furnace oil resulting in energy shift towards inexpensive LNG, which hampered the operational revenue of PNSC by foreign flag tankers chartering with a decline of 71 percent. Likewise, there is a fall of 7 percent in slot charter segment, which is also mainly because of the reduction in the import of public sector cargoes. Cumulatively, PNSC achieved a turnover of Rs.7,478 million as against to Rs.7,522 million for the corresponding period last year. Fleet Direct operating expenses declined to Rs. 5,500 million from Rs.5,747 million, thereby resulting in gross profit of Rs.1,852 million as compared to Rs.1,656 million for the corresponding period previous year.

 

Despite of some adverse factors, statistics also showed that PNSC profitability has grown by 61 percent with profit after tax (PAT) of Rs.1,402 million during this period as compared to Rs.872 million in the corresponding period previous year ensuring the best utilization of resources. Earnings per share for the PNSC increased to Rs.10.62 against Rs.6.60 in previous corresponding period. The government officials also identified that two LR-1 tankers are added in PNSC’s managed fleet namely M.T. Bolan and M.T. Khairpur. These additions have grown the PNSC’s managed fleet deadweight tonnage to 831,711 tons, which is largest in the history. The new inductions of oil tankers in managed fleet not only cater the demand of Motor Gasoline transportation but also impart modern technological advancements on board. These inductions will also curtail reliance on foreign-chartered vessels for oil transportation, to encounter the existing and foreseeable external challenges, and to gear up for current and future economic challenges.

Official of the corporation also mentioned that PNSC commits itself towards the concept of a sustainable healthy environment for all segments of society. Present initiatives focus upon the preservation and protect of marine environment at sea and within ports. These initiatives include enhancement of efficiencies where possible for use of greener fuels and towards compliance with foreign standards regarding the use and disposal of waste oils and lubricants.

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