ISLAMABAD: Five hundred acres of Port Qasim’s land worth Rs40 billion was allotted at deferred payment of mere Rs5 billion, leading to massive loss to the national exchequer during the last few months.
This was revealed by Faisal Vawda, chairman Senate Standing Committee on Maritime Affairs, who further directed to freeze all land allotments and acquisitions within Port Qasim and the Karachi Port Trust (KPT) areas.
Vawda revealed details regarding the allegedly controversial allotment of 500 acres of land at Port Qasim.
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However, Federal Minister for Maritime Affairs Qaiser Ahmed Sheikh, Secretary Syed Zafar Ali Shah, and other officials expressed ignorance about the development, which according to Vawda took place during the last few months.
The committee met under the chairmanship of Faisal Vawda here on Wednesday to discuss significant issues concerning land allotments at Port Qasim and KPT, the state of maritime affairs, and the future direction of port infrastructure and development.
“Land worth Rs40 million per acre was allotted at a mere Rs1 million per acre, leading to a massive loss. This deal, which includes the sale of 200 acres of land separately, has caused a Rs60 billion loss to the national treasury. This cannot be allowed to continue,” stated Senator Vawda.
He said the per acre government rate of the land was Rs40 million, while the per acre market rate was Rs70-80 million. “The land has been sold at rupees one million per acre,” he added.
In light of these discrepancies, the chairman directed the cancellation of these land allotments and instructed the concerned authorities to prepare a detailed report immediately, identifying the individuals involved.
“We will not hesitate to lift the restraining orders on this matter,” he added.
“The responsible will be accountable to NAB and other relevant agencies. The committee will use all necessary means to fix these issues.”
Vawda also expressed concerns regarding similar allotments during the past era, emphasising the need for transparency and accountability, even the Port Qasim Authority chairman was unaware of such illegal allotment issue, he said if billions of dollars have been lost, we will recover it, and our steps will be strong, and if required the matter will be referred to NAB as well as other concerned authorities for investigation
Qaiser Sheikh, responded by stating, “to my knowledge, there is no such transfer that took place without the permission of the board, however, we will collect all necessary details regarding the matter.”
He went on to highlight the serious issues faced by the maritime sector, mentioning the stagnation in various projects, including fisheries, over the last several years. “SOE has been making a loss of six billion rupees, and many projects are stalled, yet salaries are being paid in crores,” he remarked.
Senators including Danesh Kumar, Nadeem Bhutto, Rubina Qaimkhani and Zeeshan Khanzada also laid emphasis on steps being taken by the ministry for the development of all ports as well as resolution of all issues.
The committee chairman said that a letter would be written to the prime minister. After clearing, the land would be parked at SIFC.
The committee chairman also said that $303 million for dredging were kept in local currency and resulted in huge loss to the national exchequer.
The committee also discussed the broader challenges facing the country’s maritime infrastructure, especially in Karachi and Gwadar.
The committee was informed that Ports Master Plan expired in 2016, and after that, no plan was development. The ministry is finalising the new Ports Master Pan and would be completed in the next few months.
Senator Pervaiz Rashid underscored the lack of a cohesive strategy, pointing out, “Unfortunately, we have never considered our ports as commercial entities. The absence of coordination between departments has paralysed progress. The failure to address overloading and the resulting damage to roads is one of the key issues that need immediate attention.”
Secretary of Maritime Affairs briefed the committee on several positive developments, including a Rs90 billion profit for the sector in the previous year and a target of increasing it to Rs100 billion by the end of current fiscal year. “We are working on digitalisation across ports to enhance efficiency. A digital system at ports can earn us an additional $100 per container daily,” the secretary stated.
The committee also received updates on the ongoing and planned projects at Gwadar Port. The chairman of Gwadar Port Authority emphasised the potential of the port, citing a Japanese grant of one billion dollars for industrial pollution control. “We are working with international partners on projects that will boost the economic opportunities in Gwadar, including green shipping and green fuel projects,” he explained.
Additionally, the committee was briefed on efforts to expand the port’s capacity, including the initiatives to improve port infrastructure.
As part of the ongoing efforts to improve security and operations at Gwadar, the committee discussed the implementation of new security measures and the development of infrastructure such as the Lyari Expressway, which aims to open new trade routes.
Copyright Business Recorder, 2025
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