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ISLAMABAD: The Ministries of Maritime Affairs and Pakistan Railways (PR) have agreed in principle to formally sign an agreement to shift 100,000 tons of cargo load to PR freight trains in a bid to deal with road congestion in Karachi and improve cargo logistics at Port Qasim.

The decision to shift bulk freight movement from road to rail was made during a meeting between Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry and a three-member delegation from the Ministry of Railways led by Additional Secretary Rahit Mirza here on Wednesday.

The PR officials said that the railways estimated that the project will shift around 100,000 tons of edible oil annually from road to rail, a move expected to make a visible impact on traffic congestion in Karachi. The volume would be transported through four trains per month, each comprising 25 wagons, collectively carrying around 6,000 tons of edible oil per month, the railway officials said.

The meeting, attended by the Chairman of Karachi port and the technical advisor, discussed developing dedicated rail infrastructure at the country’s second-largest port to support the transport of bulk commodities, particularly edible oil. Under the proposed arrangement, PR plans to acquire land in the edible oil and molasses area at Port Qasim on a government-to-government basis.

The land will be used to establish a railway station along with storage, loading, and handling facilities, allowing bulk cargo to be transferred directly from ships to trains. The infrastructure would help streamline port operations and reduce reliance on heavy trucking.

Minister Junaid Chaudhry told the delegation that diverting bulk edible oil movement from road to rail would significantly reduce congestion on Karachi’s already overburdened roads, while also improving logistics efficiency at the port. He stated the project would reinforce the role of railways in large-scale commodity handling and support more sustainable and cost-effective freight transport, particularly for essential imports.

The delegation informed the minister that the Pakistan Railways has already signed an agreement with a private company to promote rail-based bulk commodity transportation. The partnership centres on a dedicated edible oil transportation project at Port Qasim and is intended to strengthen national logistics’ efficiency by providing a reliable rail corridor for high-volume cargo.

Under the proposed operational plan, edible oil will be loaded at Port Qasim and Keamari in Karachi, with destination stations spread across key consumption and industrial centres, including Multan, Lahore, Faisalabad, Hattar, and Peshawar. This network would ensure faster and more predictable deliveries while reducing pressure on highways linking Karachi with the rest of the country.

Junaid Chaudhry said the initiative aligns with broader government efforts to modernise port-linked logistics, reduce transportation costs, and improve environmental outcomes by lowering fuel consumption and emissions associated with long-haul trucking.

Copyright Business Recorder, 2025

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