SMAP calls for action on Red Sea disruptions

Chairman suggests reactivating PNSC vessels to benefit region

KARACHI:

Salt Manufacturers Association of Pakistan (SMAP), Acting Chairman, Qasim Yaqoob Paracha has appealed to the government to take swift action in resolving disruptions to international trade in the Red Sea. Recent attacks on vessels have led to shipping firms overcharging exporters, posing a threat to the viability of the salt sector and other crucial industries.

Paracha highlighted the need for the government to pursue international solutions promptly. Speaking to The Express Tribune, Parachi suggested that if the Pakistan National Shipping Corporation (PNSC) resumes vessel services under Pakistan’s flagship, it will not only benefit Pakistan but also positively impact other Muslim countries in the region. The PNSC operates internationally on a commercially-market basis with competitive rates.

Additionally, Paracha proposed exploring public-private partnerships, leveraging the expertise of experienced mentors in Pakistan’s shipping lines. He also recommended establishing mechanisms for exports by road and rail, aligning with the practices of many European countries.

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In discussions with officials from the PNSC about recent security concerns in the Red Sea, Paracha quoted PNSC Director Khurrum Mirza as expressing eagerness for collaboration. He believes that synergies between SMAP and PNSC can lead to innovative solutions.

Given that salt is a low-priced commodity, Paracha stated that salt exporters cannot afford the overcharges imposed by shipping companies. The urgency of addressing disruptions in the Red Sea is crucial for the stability of international trade and the sustainability of vital industries.

Published in The Express Tribune, January 6^th, 2024.

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