Port Qasim Industrial Zone: Minister assures promoting business-friendly environment

KARACHI: Qaiser Ahmed Sheikh, Federal Minister for Maritime Affairs visited Bin Qasim Association of Trade and Industry (BQATI) and expressed his satisfaction over the role of BQATI to promote business-friendly environment in the Port Qasim Industrial Zone. The minister, who himself belongs to the business community, appreciated the close coordination between Port Qasim Authority and BQATI.

Rasheed JanMohammed, President BQATI gave a detailed presentation on the role of BQATI in the promotion of industrialisation at Port Qasim which is the first industrial port of Pakistan. He appreciated the efforts of Port Qasim Authority particularly in the marine sector as Port Qasim is now handling more than 50 percent of seaborne trade of Pakistan.

The main success of Port Qasim is the concept of Land Lord and Marine projects on BOT (Built on Transfer) basis. He also emphasised that to promote further industrialisation utility services need be improve as Port Qasim is the only area where land is available.

Rasheed JanMohammed informed the audience that BQATI have already created a facilitation desk in their office whereby the KE and SSGC team visits every month to address the problems of the industrialist working in the Port Qasim Industrial Zone (PQIZ).

Mian Muhammad Ahmad Patron-in-Chief BQATI and Chairman of APSEA also spoke on occasion and highlighted the areas for improvement in the law and order situation and in bringing down the cost of doing business. He also suggested that BQATI representative may also be given seat on the Board Members of PQA.

He raised concerns about the charges applied to vessels for shifting between berths. He outlined that any vessel shifting between berths should be treated as "For Port Convenience" and that these charges should be covered by KPT, as they create an additional burden. He elaborated that for nearly 15 years, oilseeds have been a bulk cargo at Karachi Port, with approximately one million tons imported via KPT each year.

Shakil Ashfaq suggested having an additional berth at FAP to alleviate vessel congestion and waiting times. Furthermore, he proposed building silos at KPT for grain storage to enhance the handling efficiency of bulk cargo like grain, this would allow for faster storage, efficient retrieval and dispatch processes at KPT, and ultimately save on vessel demurrage and charter time, reducing the foreign exchange being paid to shipping companies.

Mehmood Moulvi highlighted certain aspects of the port agreements with the foreign port operators, possibly indicating terms and conditions that might need reassessment to ensure they align with national interests. He informed that charges at the KPT had been raised by 100 percent.

Moulvi proposed that the government should consider revising existing rules and regulations. Such revisions would aim to establish a more favorable investment environment and ensure that agreements with foreign entities benefit the country's economic growth.

Senior industrialist Maqsood Ismail shed light on the myriad challenges faced by industries in the Port Qasim including infrastructure deficiencies, regulatory hurdles, logistical challenges, and environmental concerns. Overcoming these obstacles is vital for the efficient functioning and development of industries in the area.

He emphasised that the lack of gas, electricity, and other energy sources significantly hinders industrial operations. Industries need a reliable and cost-effective energy supply to uphold productivity and competitiveness. Resolving these crises is imperative to sustain industrial advancement and ensure a robust economy.

He suggested that PQA to establish an Industrial Facilitation Center in BQATI, similar to those by SSGC and KE, which is crucial for assisting businesses and industries in the Port Qasim industrial zone in resolving their issues.

Chairman Port Qasim Authority, Rear Admiral Syed Hasan Nasir Shah (retd) assured that efforts would be made to establish a PQA Industrial Facilitation Centre in BQATI to enhance coordination and linkage between PQA and industries, support industrial activities, and foster a business-friendly atmosphere in Port Qasim. This initiative aims to address industry issues promptly and sustainably.

Federal Minister Qaiser Ahmed Sheikh emphasised the importance of streamlining and simplifying the process for obtaining security gate passes for foreigners and investors visiting PQA.

He assured stakeholders, particularly the Bin Qasim Association of Trade and Industry (BQATI), of their inclusion in the PQA Board, similar to KCCI and FPCCI representation in KPT. This commitment reflects recognition of the importance of industry representation in decision-making processes related to port governance and development.

The minister discussed the potential for industrial growth in Pakistan, highlighting the government's initiatives and policies aimed at promoting the expansion and modernization of industries. He emphasised that industrial growth is essential for economic development, job creation, and increasing exports.

He outlined various factors contributing to Pakistan's potential for economic growth, mentioning the government's plan to reduce the policy rate in the future and the anticipated rise in business profitability. He also addressed the stability of the stock exchange, highlighting efforts to ensure a conducive environment for investors and maintain market stability.

The meeting was also attended by Awais Manzur Sumra, Secretary, Ministry of Planning and Development, Government of Pakistan. During the meeting Rasheed JanMohammed requested the Secretary Planning to initiate the Program of preparing a Road Map for the next Five-Years Plan particularly for the Port Sector as this program was already in place in the decade of 1990.

The Secretary Planning was very kind to assure the audience to look into this aspect. The Chairman Port Qasim Authority advised that Port Qasim provides complete synergy between the Marine & Industrial requirements. The road network inside the Port is very good and more work is being carried out to improve the infrastructure within the port.

BQATI also recognized and commended the Rice industry for crossing the mark of $3.5 billion for the year 2023-24 and in this respect presented a BQATI shield to the Chairman of REAP Chela Ram.

The meeting was attended by Senior Industrialist, Port Terminal Operations, PQA and Custom Officials.

Copyright Business Recorder, 2024