KARACHI: A.P. Møller - Mærsk A/S, usually known as Maersk, a Danish shipping and logistics company, intends to expand its business in Pakistan’s shipping sector with an initial investment of $2.0 billion, the federal minister for Maritime Affairs Qaiser Ahmed Sheikh said.
A memorandum of understanding is expected to be signed between the governments of Pakistan and Denmark in the last week of the current month in this regard. The minister for maritime affairs Qaiser Ahmed Sheikh will sign this MoU on behalf of the government of Pakistan.
Qaiser Ahmed Sheikh, while briefing a group of reporters at his Karachi Camp Office on Saturday said that the Danish company is interested to expand in business in Pakistan and launching new projects in Pakistan’s shipping sector. He said it is a big breakthrough that European companies are coming to invest in Pakistan. Previously, he said most of the investment was coming from Middle East.
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The minister pointed out that Maersk intends to launch new projects of building infrastructure, shipbreaking, transship and cargo transportation.
The minister said that MoU with the Denmark government will be signed in the last week of the current month and the work is expected to start in October this year. The minister was optimistic that more companies and investors from Europe will come here to invest in various sectors in Pakistan and there is huge potential for businesses mainly in shipping, infrastructure, transportation and other sectors.
He said the ministry of maritime affairs is working on different projects for smooth transportation of cargo from ports to their destinations.
The minister said that Pakistan is blessed with deep sea ports and ideal geographic location and has ability to handle sea born cargo not only for its local demand but also for the neighboring landlocked Central Asian countries. He said the ministry of maritime affairs is working tirelessly on various projects to boost the shipping business in Pakistan.
Chairman Karachi Port Trust (KPT) Syed Syedain Raza Zaidi and Chairman Port Qasim Authority (PQA) Rear Admiral (R) Syed Hasan Nasir Shah also briefed about the performance of their respective ports.
Syed Syedain Raza Zaidi said cargo handling at KPT has increased to 52 million tons in 2023-24. The KPT’s earning has increased to Rs 50 billion with profit after tax of Rs 10 billion in 2023-24.
Syed Hasan Nasir Shah said the PQA earning is increasing with average annual growth rate of 20 percent. PQA earned Rs 35 billion in 2023-24 as compared to Rs 29 billion in 2022-23 while the earning target for current year is over Rs 40 billion.
Copyright Business Recorder, 2024
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