Historic Transshipment Incentive Package Announced for Karachi Ports

KARACHI: Federal Minister for Maritime Affairs Junaid Anwar Chaudhry has announced a historic transshipment incentive package for Karachi’s ports, unveiling a comprehensive policy aimed at transforming Pakistan into a regional transshipment hub.

In a statement, the minister said the government is continuing reforms in the maritime sector in line with the Prime Minister’s vision. He added that under the leadership of the Chairmen of Karachi Port and Port Qasim, significant progress has been made in promoting port trade.

As part of the new policy, the government has decided to substantially reduce transshipment cargo handling costs to improve the competitiveness and operational efficiency of Pakistan’s ports.

Under the package, transshipment vessels will receive up to an 80% discount on port handling charges. At Karachi Port, wharfage charges will be reduced by 20% to 80%, while importers and shipping operators will benefit from 14 days of free storage and up to 30 days of free storage in the TPX area.

At Port Qasim, 100% exemption on wharfage charges will be offered for transshipment cargo. The port’s terminals will provide 7 days of free storage, with the option to extend it to 21 days.

Additionally, container terminal operators have agreed to reduce terminal handling charges by up to 25%, providing further relief to shipping lines and traders.

Chairman Karachi Port, Rear Admiral (Retd.) Shahid Ahmed, said vessels bringing larger volumes of transshipment cargo would receive greater incentives. He added that the new package is expected to significantly reduce vessel turnaround time at Pakistani ports.

The Maritime Affairs Minister also announced that all previous transshipment-related SROs and notifications have been abolished, simplifying the regulatory framework and facilitating smoother port operations.