Latest news with #KICT
Business Recorder
28-06-2025
- Business
- Business Recorder
KICT assures to ease container backlog amid industry protest
KARACHI: Amid rising complaints over growing delays in container examinations at the Karachi International Container Terminal (KICT), the terminal operator has assured the trading community that it is working closely with Pakistan Customs to swiftly address the backlog. In an official statement issued Wednesday, KICT said it remains committed to facilitating trade and ensuring efficient terminal operations for all stakeholders. It confirmed that the Collector Appraisement (West) has taken urgent measures, doubling the examination staff deployed at the terminal to fast-track the clearance process. KICT is confident that, with joint efforts, the situation will normalise soon, the statement added. The development follows a strongly-worded statement from the Karachi Customs Agents Association (KCAA), which raised serious concerns over operational inefficiencies and mounting backlogs at KICT. In a formal communication last week, KCAA warned that escalating delays in container grounding and examination were causing financial losses, increased demurrage and detention charges, and deteriorating service standards for the trading community. 'We wish to draw immediate attention to the delays in container grounding at KICT. Despite repeated follow-ups from our members, there has been no significant improvement in operations,' the KCAA said. The association also submitted a copy of the Daily Examination & Grounding Report of KICT to support its claims. The KCAA noted that even priority containers submitted for urgent handling are facing delays, while an insufficient and poorly coordinated labour force has worsened the situation. It further pointed out that containers often remain in the examination area for extended periods after inspection due to delays in sealing and removal, causing terminal congestion and operational disruption. The association also criticised the inadequate space allocated for the examination of A-class cargo, urging KICT to immediately expand and upgrade the area to meet rising trade volumes and operational demands. The terminal's management, while acknowledging the concerns, expressed confidence that the collaborative measures now underway with Customs will soon resolve the crisis. Copyright Business Recorder, 2025
Business Recorder
13-06-2025
- Business
- Business Recorder
KICT fails to act against theft, cargo mishandling: KCAA
KARACHI: Karachi International Container Terminal Limited (KICT) has reportedly failed to implement effective measures against escalating incidents of theft, pilferage, cargo mishandling and persistent operational delays, which are inflicting severe financial shocks to the trade. The issues were highlighted by the Karachi Customs Agents Association (KCAA) in a letter sent to the management of KICT, expressing grave concerns over persistent operational delays, recurring incidents of theft, pilferage, and mishandling of cargoes that are causing serious financial losses to the trade. In its letter, the KCAA highlighted multiple operational challenges that have been severely impacting import clearance processes at the KICT. The KCAA expressed disenchantment over recurring incidents of theft, pilferage, and mishandling of cargo at the terminal, saying that several incidents of security breach have been reported that compromised cargo safety, resulting in severe financial shocks to the trade. The KCAA, in its letter, reported that the backlog of containers is increasing daily, despite repeated requests from members for improved operational performance. The association said that even container numbers communicated by KCAA for prioritized grounding were not being processed promptly. 'Containers are not being arranged for examination at KICT,' the letter said, adding that this has resulted in severe delays in clearance of import consignments and escalating port demurrage and container detention charges for importers. The KCAA highlighted several operational issues requiring immediate attention, including persistent delays in the closure and relocation of containers from examination areas, with containers not being sealed and transferred promptly following examination, adding that this disruption to the workflow has adversely affected the overall efficiency of the clearance process. The KCAA also highlighted that the designated space allocated for the examination of A-class cargo was currently inadequate at KICT, which required immediate expansion to accommodate the increasing volume of cargo under inspection. Additionally, there is an ongoing shortage of essential handling equipment and labor, particularly for cargo operations such as de-stuffing and re-stuffing, the letter said. The KCAA warned that if the current operational situation remained unchanged, the association would have no option but to reconsider its cooperation and support with the KICT Terminal. The association urged the KICT to issue immediate instructions to the concerned staff to expedite the grounding process and ensure containers were made available for clearance without further delay. The KCAA also requested to allow a waiver in the port demurrage charges for the affected period, if the delays were directly attributed to the late grounding by the KICT. Copyright Business Recorder, 2025
Business Recorder
06-06-2025
- Business
- Business Recorder
Modernising KICT, SAPT: $1bn investment with Hutchison Port Holdings on the anvil
ISLAMABAD: Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry, while underscoring the key role of national shipping industry in bolstering international trade, has said that in this connection the government's initiative includes a fast-track strategy for a $1 billion investment with Hutchison Port Holdings Limited, focusing on modernising the Karachi International Container Terminal (KICT) and South Asia Pakistan Terminals Limited (SAPT). Speaking at an event, the minister said the government was actively inviting global shipping companies to invest in Pakistan's maritime sector, leveraging the country's strategic location. The event was hosted by Aasim A Siddiqui, managing director of Pakistan Intermodal Limited (PIL), and attended by senior management from shipping lines and terminal operators. The minister emphasised the government's commitment to modernising maritime infrastructure and enhancing operational capacities across the nation. CK Hutchison plans $1bn port investment On March 18, 2025, the Hutchison Ports, one of the world's leading ports network, has agreed to fast-track its $1 billion investment plan to modernise Pakistan's port infrastructure during a meeting between Chaudhry and Andy Tsoi, Managing Director of Hutchison Port Holdings Limited. The two sides met to discuss 'swift execution of the previously proposed $1 billion investment aimed at upgrading Pakistan's port infrastructure'. Andy Tsoi reiterated Hutchison Ports' commitment to Pakistan and emphasised the importance of efficient execution to maximise economic benefits, it added. 'Both sides discussed regulatory clearances, infrastructure upgrades, and supply chain improvements, agreeing to remove bottlenecks that could slow down the project. Special attention was given to accelerating the deployment of automation, digitalisation, and green port solutions to ensure sustainable operations.' Chaudhry highlighted that over 90 percent of Pakistan's trade volume was managed through seaports, with the maritime sector contributing more than 10 per cent to the country's GDP and providing employment to over two million individuals, both directly and indirectly. He noted that the Karachi Port Trust alone had the capacity to handle over 125 million tons of cargo annually. In the fiscal year 2023, the shipping sector generated approximately $235 million in revenue, with oil tankers accounting for about 70 per cent of this figure. Addressing the financial implications of relying on foreign shipping companies, the minister pointed out that Pakistan spends an estimated $6-8 billion annually on freight charges. Copyright Business Recorder, 2025
