4 days ago
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- 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
