‘Pakistan failed to unlock full potential of its ports’
ISLAMABAD: Experts at a seminar on Wednesday stressed that Pakistan’s blue economy could generate up to USD 100 billion, but outdated port infrastructure and structural challenges are holding the country back from fully capitalising on this potential, leaving it far behind regional competitors in external trade.
Speaking at the seminar on the future of ports in Pakistan, Dr Nadir Mumtaz, former chairman of Karachi Port Trust (KPT), highlighted that Pakistan has failed to unlock the full potential of its ports, which remain underutilised due to various persistent challenges.He noted that international donor agencies, including the World Bank and Asian Development Bank (ADB), have repeatedly urged Pakistani authorities to address the structural issues at seaports to reduce the cost of doing business.
He further pointed out that, of Pakistan’s three major ports, Karachi Port Trust and Port Qasim Authority handle a combined total of 3,600 vessels annually, while Gwadar Port has seen a sharp decline – from 61 ships in 2018 to just 28 in 2022.
He added that Pakistan’s coastline stretches over 1,046 kilometres, with 740 kilometres located in Balochistan, but this vast area remains largely unutilised.
Mumtaz emphasised that in developed countries, ports are seamlessly connected to railways, road networks, and inland waterways.
In contrast, only 5 per cent of cargo in Pakistan is handled by rail, while the remaining 95 per cent is transported by lorries, a method that is not only costly but also significantly contributes to carbon emissions.
He proposed that utilising inland waterways for trade transportation could help reduce pollution and attract up to USD 1 billion in external funding from the World Bank.
Alia Shahid, Additional Secretary of the Finance Division and former Director-General of Ports & Shipping at the Ministry of Maritime Affairs, outlined the government’s efforts to address traffic congestion caused by heavy lorry traffic, including plans to improve the rail network and incentivise coastal shipping.
She highlighted the strain on road infrastructure, noting that Karachi Port currently operates at just 42 per cent of its total capacity, with lorry transportation restricted to a window between 12pm and 8am.
She also lamented the decline of Pakistan’s national shipping fleet, stating that the Pakistan National Shipping Corporation (PNSC), once operating with 70 ships, now has only 13. She noted that the current minister aims to increase this number to 30 in the coming years.
Reflecting on her tenure as DG Ports & Shipping, she explained that the government’s shipping policy had initially offered incentives to attract foreign shipping lines, but the premature withdrawal of these incentives discouraged investors.
She said that many local shipping lines now operate from other countries due to inconsistent government policies.
She also pointed out that KPT and Port Qasim lack the capacity to handle mother ships for transshipment.
Despite dredging efforts that have deepened the ports to 17-18 metres, she recommended that with additional investment and focus, Gwadar Port could eventually handle mother ships and facilitate transshipment.
On gender issues, she criticised the lack of female representation at Marine Academy, pointing out that while women make up 50% of maritime trainees in India and Bangladesh, Pakistan has yet to address this imbalance.
Dr Waqas Anwar, member of the Infrastructure & Regional Connectivity Division at the Ministry of Planning, Development & Special Initiatives, revealed that the average dwelling time of ships at Pakistani ports is 8-9 days, compared to just 4 days in India.
He added that the future of Gwadar Port is heavily dependent on the security situation in Gwadar and Balochistan, as high insurance costs deter shipping lines from using the port.
He also announced that the government is planning to approve the Lyari Freight Elevated Expressway, which will be dedicated to handling cargo transportation across the country.
He stated that the groundbreaking of the much-anticipated ML-1 project is expected to take place in July, though it will take two to three years for completion.
He concluded by stressing the need for the government to appoint shipping experts, not bureaucrats, as heads of ports, arguing that industry experience is essential to address the needs of the country’s maritime sector.
Copyright Business Recorder, 2026