Maritime Minister announces major incentives to attract transshipment vessels, reward green practices

ISLAMABAD, Mar 19 (APP):Federal Minister for Maritime Affairs, Muhammad Junaid Anwar Chaudhry here on Thursday unveiled a package of fiscal incentives aimed at attracting foreign-flagged transshipment vessels to Karachi Port in a bid to strengthen its position as a regional maritime hub.

Chaudhry announced the measures while chairing a high-level meeting, describing them as part of a broader strategy to boost shipping activity and reward environmentally sustainable practices.

“The new incentive structure provides significant relief in port dues and berthing charges based on performance, effective from March 18, 2026,” Junaid Chaudhry said.

Under the revised framework, vessels carrying dry bulk export cargo will receive a 60% concession on port dues, wharfage and storage charges under the Karachi Port Trust (KPT) tariff.

The minister said incentives linked to the number of monthly ship calls had been significantly enhanced compared to previous policies, while the minimum transhipment cargo requirement had been reduced from 10% to 7.5%.

“This step is expected to encourage more carriers to utilise Karachi Port,” he said, adding that the base discount has been increased from 5% to 20%, with further incentives rising from 2% to 5% for every additional 5% increase in transhipment volumes.

According to the new policy, vessels carrying transhipment cargo equivalent to 50% of their gross registered tonnage (GRT) will be eligible for a flat 60% discount on port dues. The rate has been set at US $1.18 per GRT.

In addition, large container ships with at least 25% transhipment cargo will be eligible for up to a 50% discount on applicable wet charges. Ships using environmentally friendly fuels will receive an extra 5% reduction in berthing charges.

Junaid Chaudhry said the initiative reflected the government’s proactive approach to maritime trade and aimed to position Karachi as a cost-effective and efficient gateway for global shipping.

“By incentivising both operational scale and environmental responsibility, KPT is driving the modernisation of Pakistan’s blue economy,” he said.