Ports & shipping sector: Stakeholders favour setting up of ‘LSPRA’

KARACHI: All stakeholders of Ports & Shipping sector unanimously favored the idea to establish an autonomous ‘Logistics Service Providers Regulatory Authority (LSPRA)’ which, inter alia, will particularly be responsible to devise legal framework, issue guidelines, decide charges and monitor all the activities of entire ports and shipping sector.

During a meeting under the supervision of Chairman Karachi Port Trust (KPT) Syed Syedain Raza Zaidi held at KPT Head Office, it was further agreed that the LSPRA Bill, which has been pending since 2013, will be revisited in consultation with all stakeholders under the supervision of Chairman KPT to make necessary amendments as per current scenario and then forwarded to government for approval and implementation.

Besides President KCCI Iftikhar Ahmed Sheikh and Chairman Customs & Valuation Subcommittee Sheikh Waqas Anjum, the meeting was also attended by representatives of shipping companies, shipping agents, customs agents, freight forwarders, terminal operators and others.

President KCCI Iftikhar Ahmed Sheikh, while sharing details of the meeting, informed that all stakeholders were of similar opinion as they strongly believe that it has become inevitable to establish a regulatory body so that the varying and unjust charges by shipping lines could be controlled, besides creating an enabling business environment for promoting Pakistan’s trade and bringing port operations at par with international standards.

He said that concerns were also expressed over varying and exorbitant LCL charges by Off-dock Terminals and Chairman KPT was requested to take up this matter with Off-Dock Terminals who must be directed to publicize their rate lists.

He particularly appreciated the resolve exhibited by Prime Minister Shehbaz Sharif, Federal Minister for Maritime Affairs Qaiser Ahmed Sheikh and Chairman KPT Syed Syedain Raza Zaidi to improve the performance of entire ports and shipping sector so that Pakistan’s trade, particularly the exports could be fully facilitated which was badly needed under the prevailing scenario wherein the country was battling hard for its economic survival.

He mentioned that the facility of keeping the shipping companies operational on every Saturday for issuance of Delivery Orders (DOs) which was now available, became possible thanks to the efforts made by Chairman Businessmen Group Zubair Motiwala who kept pursuing this matter so that it becomes a reality. “On last Saturday, most of the shipping companies including Maersk, Hapag Lloyd, CMA CGM, Green Pak, PIL, MSC, OOCL, Cosco, Inshipping, Emirates, CIM, Sharaf, Eastern Sea, ONE Line, Yaseen Shipping, MA & GAC, Freight Connection and Pak Shaheen remained operational for issuance of DOs.”

Iftikhar Sheikh reiterated that the business community faces inconsistency in charges, thus making costing and forecasting difficult for businessmen. There should be some sort of harmonization in such charges, which allow a level playing field for all traders, he advised, adding that the KCCI, along with KPT, were ready to play a role in establishment of a single regulatory authority which would help combating such tariff issues besides other major problems faced by the ports and shipping agents.

It is pertinent to mention here that the Karachi Chamber has been constantly demanding to regulate shipping sector since 2013 but the LSPRA Bill remains pending to date. With Prime Minister’s intervention, the business community was fairly optimistic that the much-awaited LSPRA Bill will soon become a reality to fully regulate shipping sector.

Copyright Business Recorder, 2024