ISLAMABAD: The reduced rates of customs duty may increase inflow of foreign ships traffic at Port Qasim and earn huge profit in the form of foreign exchange.
Rate of customs duty in Pakistan is higher than other countries and if this rate is reduced then more ships would anchor at PQ and earn foreign exchange for the nation.
This revelation was made by Chairman Port Qasim Authority (PQA) Agha Jan Akhtar before the Senate Standing Committee on Ports and Shipping here on Wednesday.
Port Qasim Authority is the second deep sea industrial-cum-commercial port operating under landlord concept and is situated in Indus delta region at a distance of 28 nautical miles in the south-east of Karachi. The port currently caters for more than 40% of seaborne trade requirements of the country.
Senate committee met here with agenda of briefing on LNG terminal related issues at Port Qasim, deep sea project and related matters at Karachi Port Trust as well, as briefing on pre and post China Pak Economic Corridor projects and other issues related to Gwadar Port
Agha Jan Akhtar rejected the impression that big LNG containers could not anchor at PQ saying that around 1200 big ships used to anchor at PQ annually and almost 17 LNG containers had anchored at PQ in the current year as well as first LNG container anchored at PQ in March last year.
He said that four LNG Tugs had been taken on lease at the cost of $ 25 million for two years for improved and safe handling of LNG containers but Customs Authorities had imposed customs duty of $ 15 million.
Committee members observed that it would be better if tugs had been purchased for once instead of getting on lease only for a short period of two years.
He added that PQA has a number of development plans including draft depth improvement to support large vessels, facilitating economies of scale for trade; specific industrial/business zones for optimal utilization of land, night navigation, logistics distribution parks and warehousing for improvements in supply chain, additional concessions for bulk terminals as well as oil and gas terminals, rail connections for up-country locations through Pakistan and transit sheds and customs clearance for Afghan and Chinese cargo,
“Through focused and innovative planning Port Qasim aims to becomes an efficient hub for goods and services. Since countries that are integrated in the global supply and investment chains will be the drivers of future global economic growth, Port Qasim envisages assisting Pakistan to become a contending force in the new economic world order” he added.
