Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry has invited the private sector, particularly Karachi’s business community, to invest in Pakistan’s shipping and maritime industry, traditionally dominated by foreign firms and the state-run Pakistan National Shipping Corporation (PNSC).

Speaking at the Karachi Chamber of Commerce and Industry (KCCI) on Tuesday, the minister said the government aims to open up the sector for local investors, offering port land and joint-venture opportunities to develop new shipping lines and terminals. “We have 140 acres of land available where an industrial park can be developed in partnership with the private sector,” he said, adding that the Karachi Port Trust (KPT) is ready to act as a strategic partner whilst the private sector handles operations.

He emphasised that the ministry will no longer allow real estate ventures on port lands, which will be reserved strictly for trade, logistics and industrial purposes. “We will provide land, but it must be used for business — not housing societies,” he stressed.

Pakistan’s business community, particularly in Karachi, has long voiced grievances against foreign shipping companies operating in the country. With the exception of the PNSC, nearly all shipping lines serving Pakistan are foreign-owned, with their headquarters based abroad. These firms handle the majority of the country’s import and export cargo through local agents who, traders allege, often treat them harshly and impose excessive charges.

Business leaders complain that shipping agents levy multiple fees under various heads, including container damage, port delays and demurrage, and pass on all such costs to local importers and exporters. In addition, several foreign shipping companies reportedly charge customers using an exchange rate of Rs297 per US dollar, significantly above the official interbank rate of around Rs280. These rates, displayed publicly on their websites, are said to exceed even the hawala or hundi market rates, further increasing the cost of doing business.

The business community has repeatedly appealed to authorities to address these practices, calling for regulatory oversight to ensure transparency and fairness in shipping operations.

Acknowledging these long-standing issues, the maritime minister has urged local entrepreneurs to invest in the country’s shipping sector. He encouraged businessmen to establish indigenous shipping lines and purchase vessels, assuring that the government would offer port land to investors at fair prices.

The minister urged Pakistani businessmen to form a consortium and launch local shipping companies, noting that “PNSC alone cannot bear the burden of reducing freight costs.” He announced that the government is expanding PNSC’s fleet by 50%, with five new vessels to be added soon, and directed that the target of 30 ships be achieved within one year instead of three.

Chaudhry also outlined plans to develop a Pakistan Maritime Industrial Zone on 700 acres, featuring a shipbuilding yard, steel melting unit and ship-breaking facility. He said the ministry was ready to offer land for both ship-breaking and shipbuilding, on the condition that it would not be converted into real estate.