Transit hub status for KP

Karachi: International experts maintain that Karachi Port (KP) cannot handle mother ships, therefore, the focus should be on exploiting Karachi’s role as the hub of a regional trans-shipment trade. They are also sceptical about the environmental impact of the proposed deep-draught container handling berths at Keamari Groyne.

These conclusions were drawn in the final report on the feasibility of the project by the Techno-Consult International in association with Posford Haskoning Ltd. and HR Wallingford prepared for the Karachi Port Trust (KPT).

The KPT is keen to expand its services for a wider global market and has developed a comprehensive plan for the development of infrastructure and other incentives to attract transhipment trade to the port. A part of this plan is construction of deep draught container handling berths at Keamari Groyne.

The environmental assessment made by these experts showed that “the project would not directly harm the environment after completion.” It was recommended to dredge outside the migration and nesting season of the protected Green Turtle. The dredging is, however, not possible during the monsoon season.

The environmentalists, however, do not agree with the consultants’ observation and maintain that it would further pollute the harbour area and, therefore, endanger marine life and those living along the coast.

They suggested monitoring the impacts of the dredging and the changes in the current profile in the area in order to be able to take mitigation measures whenever required after completion of the project.

A trade forecast model was developed to determine the expected future container trade for the new terminal. It concluded the potential trade volume for the Central Asian States was meagre compared to Pakistan’s domestic trade. This is because Pakistan has a much larger economy than the CAS together.

For a larger share of this small market, the federal government should make major investments in hinterland connections from the port, the experts proposed.

In Pakistan the containerisation process is still ongoing. Every year more general cargo is transported in containers. The growth of container trade showed it was in line with expectations. Based on the World Bank’s GDP forecast and the historic average of the GDP as development scenarios, a forecast of the container throughput on national level were developed.

The preconditions to transhipment trade were identified, which included unrestricted access to the port; fast cargo documentation and customs procedures supported by EDI, allowing start of discharge within one hour of berthing and allowing sailing within one hour of completion of loading operations; and available space to increase capacity.

According to a regional market analysis it would be very difficult for Karachi to attract mother ships from the east, main trading route. The port should rather focus on the attraction of transhipment trade from the dedicated Middle East routes, the experts suggested in their report. Ships on these routes often bring a lot of cargo that is destined for Pakistan and India.

Analysis of the present container handling capacity in Karachi and the traffic forecast results showed that there was a need to develop a new container terminal in Karachi between 2008 and 2010, depending on the high or the low traffic forecast scenario.

They have recommended that a Simulation Navigational Study be carried out by the KPT under the next stage of detailed Quay wall and marine design works. This study is required by the operations division of KPT.To connect the terminal to the existing road infrastructure, three alternative road connections were designed. The preferred alternative follows largely the existing infrastructure, but has a fly over to pass the most congested parts in the Port access roads.