Pakistan PM orders routing 50 percent public cargo through Gwadar port

Prime Minister Shehbaz Sharif chairs a review meeting on Chinese investment in Pakistan in Islamabad on August 19, 2024. (Photo courtesy: PMO)

• China Overseas Port Holding Company plans to eventually expand port’s capacity to up to 400 million tons of cargo per year
• Gwadar underutilized for import and export due to distance from marketplaces of the country, security and services availability

ISLAMABAD: Prime Minister Shehbaz Sharif on Monday ordered that 50 percent of all public sector cargo be brought to Pakistan through the deep sea port of Gwadar, the premier’s office said in a statement.
Gwadar port is on the Arabian Sea in the southwestern province of Balochistan. China has invested heavily in the mineral-rich province, including developing Gwadar, despite a decades-long separatist insurgency. The deep-water port is key to the China-Pakistan Economic Corridor (CPEC) that also encompasses roads and energy projects and is part of Chinese President Xi Jinping’s Belt and Road Initiative.
The China Overseas Port Holding Company (COPHC), which operationally handles Gwadar, plans to eventually expand the port’s capacity to up to 400 million tons of cargo per year. Long term plans for the port require a total of 100 berths to be developed by 2045. For now, Gwadar is underutilized for commercial import and export due to reasons such as distance from the marketplaces of the country, security and services availability.
“Prime minister’s clear instructions that 50 percent of all public sector cargo for the country by sea should be brought from Gwadar port,” Sharif’s office said in a statement after a review meeting on Chinese investments and a visit by a delegation of Chinese experts from July 30 to August 6. 
Pakistan is engaging the experts to increase domestic exports and remove non-trade barriers, the PM’s office said:
“The Chinese delegation met the representatives of various ministries in which the ministries gave suggestions regarding increasing cooperation in related fields. During the delegation’s visit, significant progress was made in terms of cooperation and investment in trade and investment, energy, agriculture, information technology, communication and infrastructure sectors between China and Pakistan.”
The PM’s office said sectoral road shows would be organized in different cities of China to increase exports of Pakistani products, while Islamabad would seek technology transfer and upgradation services from China in electric vehicles, electro-medical devices and other sectors.
Security of Chinese workers has become a major security concern for Beijing since March this year when a suicide bombing killed five Chinese engineers in the north of the country. Militants have also previously attacked Chinese nations and targeted projects.