Pakistan to lease ships for PNSC to curb $4bn forex drain
In a bid to save much-needed foreign exchange, Prime Minister Shehbaz Sharif on Friday directed authorities to lease ships to expand the fleet of the Pakistan National Shipping Corporation (PNSC).
The development came during a review meeting on PNSC matters held in Islamabad, read a statement released by the Prime Minister's Office (PMO).
Chairing the meeting, PM Shehbaz noted that due to the shortage of vessels in PNSC's fleet, the country is compelled to spend $4 billion annually from the national exchequer on sea-borne trade.
The prime minister has sought a business plan for PNSC, which should be presented within two weeks.
As per the PMO statement, the plan should outline a roadmap to eliminate the $4 billion annual burden on the national treasury.
During a briefing on PNSC's performance, it was informed that the organisation currently possesses ten ships of various types, with a total cargo-carrying capacity of 724,643 tons.
PNSC is Pakistan's national flag carrier, primarily engaged in the transportation of dry bulk and liquid cargoes globally.
It was established in 1979 by merging the National Shipping Corporation (NSC) and the Pakistan Shipping Corporation. PNSC operates under the Ministry of Maritime Affairs, Government of Pakistan.
Federal Minister for Economic Affairs Ahsan Iqbal Cheema, Federal Minister for Maritime Affairs Junaid Anwar Chaudhry, and senior officials of PNSC were also present at the meeting.
Earlier in February, PM Shehbaz greenlit an extensive reform initiative designed to revive the country's maritime industry.
The key components of the reform plan encompass restructuring of PNSC, the modernisation of the National Ports Master Plan and standardisation of tariffs throughout the country's ports.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
3 hours ago
- Express Tribune
PM Shehbaz hails arbitration court ruling over IWT
Prime Minister Shehbaz Sharif chairs a review meeting on Hajj arrangements for the upcoming year in Islamabad on Saturday, June 21, 2025. Photo courtesy: Radio Pakistan Prime Minister Shehbaz Sharif on Saturday welcomed the Permanent Court of Arbitration's Supplemental Award concerning the Indus Waters Treaty, calling the decision a major endorsement of Pakistan's position. In a statement released by the PM Office Media Wing, PM said the ruling confirmed that India could not unilaterally suspend the agreement, which governs water sharing between the two countries. 'We are working upon water resources as the water is the lifeline for the people of the country,' the prime minister was quoted as saying. He also praised Law Minister Azam Nazeer Tarar and Attorney General Mansoor Awan for their legal contributions to the case. Yesterday, the Court of Arbitration constituted in accordance with the Indus Waters Treaty (IWT) of 1960, ruled that India's decision of holding the treaty in abeyance did not deprive it of its competence to adjudicate Pakistan's complaints against its neighbour. Read: Pak IWT stance vindicated by arbitration court The court issued the "Supplemental Award" on the proceedings instituted by Pakistan against India. "Accordingly, the text of the Treaty, read in light of its object and purpose, does not to allow either party, acting unilaterally, to hold in abeyance or suspend an ongoing dispute settlement process," the order read. The Supplemental Award said that "the text ... does not provide for the unilateral "abeyance" or "suspension" of the Treaty. Rather, the Treaty provides for its continuation in force until terminated by mutual consent by India and Pakistan". "Such text definitively indicates an intent by the drafters not to allow for unilateral action to alter the rights, obligations, and procedures established by the Treaty, including the treaty's dispute settlement procedures. The award, made public on the website of the Permanent Court of Arbitration, was welcomed by Pakistan, saying that it affirmed the court or the neutral expert's competence despite India's unilateral action.
Business Recorder
6 hours ago
- Business Recorder
PNSC eyes $700mn freight earnings amid fleet expansion
Pakistan National Shipping Corporation (PNSC) is expected to generate an estimated $700 million in freight earnings by expanding its cargo fleet to 34 vessels over the next three years. This was announced during a high-level meeting chaired by Federal Minister for Maritime Affairs, Muhammad Junaid Anwar Chaudhry, on Friday, read a statement. During the meeting, the minister was informed that PNSC currently manages approximately 11% of the country's cargo by volume and 4% by value. The national carrier is now targeting to increase its cargo handling to 52% by volume and 43% by value (excluding containerised cargo) within three years. PNSC is Pakistan's national flag carrier, primarily engaged in the transportation of dry bulk and liquid cargoes globally. It was established in 1979 by merging the National Shipping Corporation (NSC) and the Pakistan Shipping Corporation. PNSC operates under the Ministry of Maritime Affairs, Government of Pakistan. Presenting the business plan, the federal minister emphasised the need for PNSC to evolve into a globally competitive, technologically advanced, and environmentally sustainable organisation aligned with international maritime benchmarks. Pakistan to lease ships for PNSC to curb $4bn forex drain As per the statement, the government plans a phased renewal and expansion of PNSC's ageing fleet to enhance cargo capacity, fuel efficiency, and compliance with International Maritime Organization (IMO) standards, including those governing carbon emissions and ballast water management. The minister proposed deepening collaboration between PNSC, Karachi Shipyard & Engineering Works, and local industries for the domestic construction of modern cargo vessels, oil tankers, and container carriers. To fund the modernisation efforts, the plan advocates leveraging public-private partnerships, maritime leasing models, and tapping into global green shipping funds. The minister also underscored the need for digital transformation in maritime operations. This includes the adoption of platforms such as Pakistan Single Window (PSW), Vessel Traffic Management Systems (VTMS), blockchain-based documentation, e-logistics solutions, and real-time cargo tracking systems—measures aimed at enhancing transparency, efficiency, and security. Environmental sustainability remains central to the reform agenda.
Express Tribune
11 hours ago
- Express Tribune
PNSC eyes $700m freight earnings in 3 years
Pakistan National Shipping Corporation (PNSC) aims to generate an estimated $700 million in freight earnings by expanding its fleet to 34 vessels over the next three years, according to a statement released on Friday. The announcement was made during a high-level meeting chaired by Federal Minister for Maritime Affairs, Muhammad Junaid Anwar Chaudhry, outlining a new business strategy to revitalise the maritime and logistics sectors. The meeting was informed that PNSC currently handles around 11% of the country's cargo by volume and 4% by value. The national carrier is now targeting a substantial increase in its cargo share to 52% by volume and 43% by value, excluding containerised cargo, within three years. Presenting a forward-looking business plan, the minister described PNSC as central to enhancing Pakistan's maritime capabilities. He stressed the need for it to evolve into a globally competitive, technologically advanced, and environmentally sustainable entity aligned with international maritime standards. A key feature of the plan is the phased renewal and expansion of PNSC's aging fleet to boost cargo capacity, improve fuel efficiency, and ensure compliance with International Maritime Organisation (IMO) standards, including regulations on carbon emissions and ballast water management. To promote self-reliance, the minister proposed stronger collaboration between PNSC, Karachi Shipyard & Engineering Works, and local industries to enable domestic construction of modern cargo ships, oil tankers, and container vessels. This initiative is expected to generate skilled employment, strengthen local supply chains, and revive Pakistan's shipbuilding sector. The expansion plan also recommends leveraging public-private partnerships, maritime leasing models, and international green shipping funds to support modernisation without burdening the national budget. Digital transformation was highlighted as another key priority. The plan includes adoption of the Pakistan Single Window (PSW), Vessel Traffic Management Systems (VTMS), blockchain-based documentation, e-logistics solutions, and real-time cargo tracking to improve transparency and operational efficiency. Environmental sustainability is central to the agenda, with PNSC set to adopt cleaner fuels, retrofit vessels for energy efficiency, and align with global decarbonisation goals. Chaudhry reaffirmed PNSC's strategic role in securing maritime sovereignty, economic stability, and resilient supply chains amid global uncertainty.
