KARACHI: Limited (KGTL), a joint venture of UAE’s Abu Dhabi Port Group and Karachi Port Trust to improve infrastructure and facilities at one of the major ports of Pakistan was unveiled on Thursday.
Sindh Governor Kamran Khan Tesori inaugurated the Karachi Gateway Terminal Limited by unveiling the plaque in a ceremony held here at Karachi Port Trust. An agreement and memorandum of understanding were also signed between Abu Dhabi Ports Group and Karachi Port Trust at the occasion.
The 50-year concession agreement would attract a much-needed investment of over $ 2 billion to expand and modernize shipment facilities, and establish special economic zone and rail connectivity between KPT and Port Qasim.
Chief Executive Officer (CEO) of ADPG Captain Juma Shamsi and Chairman KPT Syed Sayedain Raza signed the agreement in presence of Federal Minister of Maritime Affairs Faisal Sabzwari, Chief Minister (CM) of Sindh Syed Murad Ali Shah, United Arab Emirates (UAE’s) Minister for Energy and Infrastructure Suhail Mohamed Al Mazrouei, Investment and foreign trade Minister Dr Thani bin Ahmed Al Zeyoudi, UAE Ambassador Sheikh Ahmed Dalmook al Maktoum, Consul General in Karachi Bakheet Ateeq AlRemeithi.
Diplomats, elected representatives, and higher officials were also present.
Addressing the ceremony, Governor Sindh said, “Karachi Gateway Terminal Limited will help modernizing the terminal with the induction of state-of-the-art facilities He lauded the UAE’s investment in key port operations would also help in stabilizing Pakistan’s economy.”
Federal Minister for Maritime Affairs Faisal Sabzwari, addressing the signing ceremony informed that an upfront investment of Rs 50 million would be followed by further investment in PICT and Port Qasim and up-gradation will result in 12.5 % enhanced royalty.
He assured job security to employees and said that no employee was allowed to be unemployed and all the 634 top to bottom rank employees would be hired by Abu Dhabi Ports Group that will manage, operate and develop the KGTL.
He said that UAE always stood beside Pakistan in times of need, particularly in national disaster situations and a Pak-UAE joint venture was another hallmark of cordial relations of brotherly countries that would transform the negative perception about Pakistan’s economy.
Captain Juma Shamsi vowed, “The KGTL terminal will emerge as an important port not only in the region but also for regional and global business with an approach of cost reduction and efficiency enhancement and will leave significant impacts on Pakistan’s economy and Pak-UAE bilateral relations.”
He said, “Currently, UAE is Pakistan’s biggest trading partner in the Middle East with bilateral trade amounting to $ 9.3 billion in 2022 and this terminal will further increase it besides opening new avenues of trade and development.
He said that the group will invest in infrastructure, railways, and digital solutions, and making the operations easier would reduce operation cost.”
CEO KPT Syed Seyedain Raza Zaidi hoped the upfront investment of millions of dollars in the project as the first drop of the rain and expansion of the port terminal infrastructure would assist in increasing the revenue and gradually transforming Karachi as a regional trading hub.