Minister urges rice exporters to target $10b

KPT chairman announces 60% cut in port charges as dredging work begins

KARACHI:

Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry has urged rice exporters to set an ambitious target of $10 billion in exports, assuring them of full support from his ministry and port authorities during a visit to the Rice Exporters Association of Pakistan (REAP), according to an official statement issued on Tuesday.

The minister was accompanied by Karachi Port Trust (KPT) Chairman Rear Admiral Shahid Ahmed. During the visit, REAP Chairman Malik Faisal Jahangir briefed the delegation on the performance of the rice sector, describing it as a $4 billion industry with a target to reach $5 billion. He also highlighted plans to bring nearly 30 million acres of land under cultivation to boost production and exports.

The minister emphasised that evolving regional dynamics, have created new opportunities for Pakistani ports. He noted that the government has prioritised facilitation over revenue generation to attract more cargo and investment.

In a landmark development, the minister noted that port operations continued uninterrupted even on Eid, with 16 vessels handled during the holidays, a first in Pakistan's history. He further said that less-than-container-load (LCL) cargo handling has been permitted and TIR regulations have been amended to streamline transit trade.

Chaudhry underscored Pakistan's strategic geographic importance and highlighted the introduction of bunkering services at Karachi Port. He said the port has begun providing bunkering facilities to large vessels in deep-sea waters, with an estimated potential of Rs300 billion in trade.

The minister also revealed that dredging work at Karachi Port has commenced, which is expected to significantly reduce costs for the business community. Upon completion within three months, vessel turnaround time is projected to improve from seven days to just two days, generating an estimated economic benefit of Rs30 to 40 billion for businessmen.

Speaking on the occasion, the KPT chairman revealed a 60% reduction in port charges and the removal of demurrage fees to facilitate trade and ease the cost burden on the business community.