Islamabad says it’s in negotiations “to create joint ventures to expand into container shipping” in a bid to help tackle the effects of a worldwide logistics crisis.
Pakistan has said it is working to boost the
capacity of its shipping fleet to draw on its strategic
geographical position and help tackle the effects of a global
supply chain crisis.
Pakistan is in negotiations “through a public-private mechanism to create joint ventures to expand into container shipping,” Federal Minister of Maritime Affairs Ali Haider Zaidi told Reuters news agency on Tuesday.
“The supply chain problems are faced by everyone and Pakistan is also affected. There are issues everywhere and this is one of the ways we are trying to deal with this long term,” he said on a visit to London.
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More ships ordered
Pakistan has a coastline of over 1,000 kilometres and three major ports, including Karachi. It is two days of sailing time from destinations in Africa and the Middle East and
its western shoreline is close to the Strait of Hormuz oil
chokepoint.
A surge in demand for retail goods from people stuck at home
under pandemic-related lockdowns and logjams impacting the
supply of container ships and boxes to transport cargo has led
to bottlenecks around the globe, which are set to continue into
2022.
The state-controlled Pakistan National Shipping Corporation
has a fleet of 11 ships including oil tankers and dry
bulkers and has issued a tender for another four ships, Zaidi
said.
Pakistan would initially charter space on container ships “and test the market before we start a discussion on how many
(container ships) we acquire,” he added.
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Port hub for landlocked countries
Pakistan was also seeking to develop as a port hub for
landlocked central Asian countries, Zaidi said, and that it was
vital critical supplies reached neighbouring Afghanistan after
the Taliban’s victory in August.
“The world and the financial superpowers cannot and should
not abandon Afghanistan. If they do, it will be a catastrophic
humanitarian (crisis),” he said.
“It is our moral obligation to
help them.”
UN agency UNCTAD said in November smaller countries are expected to feel the most impact from the higher costs of importing goods.
Source: Reuters
Pakistan seeks to tackle global supply crisis with its shipping fleet
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