PORT QASIM AUTHORITY PQA

NAJAM KHAN, Research Associates
May 28 - Jun 03, 2007

Port Qasim is located at a distance of 50km from Karachi City Center and 15 km from National Highway. Qasim International Container Terminal (QICT) is located in Port Qasim and handles 100% of the containerized cargo for that port. It is owned by P+O Ports (now DPW), Maersk Line and the Mega-In Group. There are three off dock bonded CFS warehouses which are authorized by the government. Two are located near Karachi port and one near Port Qasim.

CARGO HANDLING AT TERMINALS OF PORT QASIM
(JUL-JUN)

.

2004-05

2005-06

CHANGE

Total Marginal Wharf

3918

4732

20.78%

FOTCO

Furnace Oil

1440

1760

22.22%

Diesel Oil

2525

3714

47.09%

Crude Oil

525

631

20.19%

Total

4490

6105

35.97%

ENGRO VOPAK TERMINAL

Chemicals

814

874

7.37%

LPG

40

25

-37.50%

Total

854

898

5.15%

There are three oil piers at Port Bin Qasim, namely Marginal Wharf-1, one Oil pier belonging to FAUJI oil terminal (FOTCO) and another one belongs to Engro Pak Tank Limited, namely EPTL-13. At liquid cargo terminal (FOTCO), which caters most important POL imports of the country, annual growth in POL imports at FOTCO reached to 6105 thousand tones an increase by 36% in fiscal year 2006 as compare to last financial year. Chemical imports at Engro Vopak Terminal showed an increase of more than 7% and LPG imports showed a decline by over 37.50% during the fiscal 2005-06 while comparing with last fiscal year.

DEVELOPMENTS AT PQA

Recently Prime Minister Shaukat Aziz inaugurated country's first Integrated Cargo Container Control (IC3) facility at Port Qasim. The IC3 Program is joint screening of US-bound containerized cargo from Pakistan via live video link by the customs authorities of Pakistan and the US. The US Customs will not subject the screened cargo to re-examination on arrival at US ports. Currently containers of Pakistani commercial cargo bound for US ports are being scanned at Hong Kong, Colombo and Salala suffering extra financial burden on our exporters. The agencies will monitor the scanning process to avoid re-opening and re-checking of cargo containers This service will not only save time for finishing export orders of US buyers, but will also reduce the cost.

Port Qasim had already allotted 10 acres of land for development of IC3 facility. The facility was visualized to the mutual beneficial of both the countries. In addition to IC3 facilities, PQA is pursuing ten major projects in private sector which after completion by 2010 shall enhance port handling capacity from present 31 million tonnes to 81 million tonnes per annum.

TARIFF FORECAST AT PORT QASIM

CARGO

UNITS

2004-05

FORECAST (2009-10)

ACGR %

General Cargo

M. Tons

0.82

2.06

20

Dry Bulk

M. Tons

1.74

5.07

24

Liquid Bulk

M. Tons

4.6

8

11

Iron Ore and Coal Berth

M. Tons

3.46

8.31

19.2

Containers

Nos. (000)

446

1022

18

*ACGR: Annual Compound Growth Rate

PROJECTS AT PORT QASIM

PURCHASE OF NEW CRAFT

PQA bought 2 tugs and 2 pilot boats to facilitate the shipping at a collective cost of US$6 million. Earlier PQA also acquired three surveillance boats at a cost of Rs. 24 million. To handle the large size vessels, PQA also plans to buy an extra tug of 50-60 Bollard Pull which facilitate berthing of deeper draught vessels

NIGHT NAVIGATION:

Night navigation facilities are available at the Port. Currently vessels of LOA 202 meters are being handled during night at request. PQA has also issued Notice to Mariners for round the year Night Navigation at the Port. PQA plans extension of the facility to larger sized vessels in phased manner.

DREDGING

To keep the channel navigational safe for transit of vessels and to allow berthing of larger sized vessels PQA has to resort to extensive dredging each year. During the year 2005-06 following dredging quantities are planned at the Port.

Approach Channel A-B Area

2.25 Million Cu. M

Approach Channel B-C Area

0.50 Million Cu. M

Inner Channel

0.75 Million Cu. M

Total

3.50 Million Cu. M

AL-WATAN INDUSTRIAL ZONE

To facilitate the overseas Pakistani's, PQA has reserved 300 acres on a primary site in Eastern Industrial Zone (EIZ), which will encourage foreign investment gives them opportunity to establish small size industries in Pakistan. Each plot is measuring 100 sq. yards at a very low cost on easy terms and conditions. City Government of Karachi will develop 1021 plots under this scheme.