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KARACHI (August 15 2008): The newly reconstituted board of Karachi Port Trust (KPT) has expressed strong reservations over the feasibility of the $1.6 billion Pakistan Deep Water Container Port (PDWCP) project, Business Recorder learnt on Thursday.

According to sources a majority of the board members, at its August 13 meeting at KPT Headquarters, have observed that the mega project, which is envisaged as a transhipment hub catering to the needs of the 6th and 7th generation container ships, was lacking a "proper hydraulic study".

"The Board could not develop consensus on the feasibility of the proposed port and has asked KPT to arrange a detailed presentation of the consultants (M/S Royal Hoskonigs) and China International Water & Electric (CWE) in the next meeting," they added. KPT has tasked CWE to conduct capital dredging for the project.

The 10-member Board also observed that the KPT's flagship project, which involves dredging and reclamation volumes of more than 34 million cubic meters (mcm), was yet to got a clearance from the environmental organisations, like Pakistan Environmental Protection Agency (PEPA), the sources added.

"The board has also asked for details on the repercussion of infill or siltation (present annual ratio of which stands at around 1.5 to 2 mcm) after carrying out capital dredging for the project," they said.

The project, the sources said, was forwarded to the Board after being approved by the Departmental Tender Committee (DTC) and Board Tender Committee (BTC) last week.

They said the project consultants, M/S Royal Hoskonigs, had already declared location for the establishment of the proposed port, which involves construction of 10 deep draught berths of 18 meter depth with 5,000 meters of quay wall at Keamari Groyne, as "wrong" in its first presentation last year to the then KPT Chairman Vice Admiral Ahmed Hayat.

M/S Royal had observed that water current, wind and sea waves at the proposed breakwaters were so high that a 70-tonnes pusher tug could not prevent a skidding of a new generation vessel carrying at least 8,000 TEUs from facing an accident in case of engine failure, the sources said.

They claimed that the former chairman had, however, ordered the consultants "to make it happen" at any cost on which the latter had asked the KPT to make a new breakwater at the proposed site. Making a new breakwater, the sources said, would almost double the cost of project.

The sources said a feasibility study by M/s H.R Wallingford, consultants for Deepening of Channel project, had proposed "Manora Island" as the best location for PDWCP. They said the study had argued that due to its geographical proximity to the proposed Cargo Village a port at Manora Island would help KPT save billions of rupees it was planning to invest on the construction of Port Bridge for hinterland connectivity.

Further, this would also help the profit-loving KPT to pay less money in terms of capital dredging as the proposed site (spreading over Sector I, II and III), and would require only 5 to 6 meters dredging as compared to Keamari Groyne where it would have to dredge a "hard soil" from the zero, the sources said. The quantity of dredging would also be reduced to almost half at the Manora site, they added. "The more dredging KPT undertakes the more increase it would have in the annual ratio of siltation at its port, which would ultimately lead to increase in its dredging activity and cost," said the sources.

KPT's former Deputy Conservator Noman Alvi had also rejected location of the proposed port as incorrect at Keamari Groyne near Sector I-II, the point where M/v Tasman Spirit and a rice ship M/v Emen had faced an unfortunate fate in the past, claimed the sources.
 
Airblue adds two new A319 aircraft

Saturday, August 16, 2008

KARACHI: The new aviation policy will soon abe approved by the cabinet hopefully in its original form, said Deputy Director General Civil Aviation Authority (CAA) AVM Sajid Habib on Friday. Speaking on the sidelines of a ceremony held to mark the induction of two new A319 aircraft by Airblue into its fleet, he asserted the role of regulator in promoting both national and private airlines of the country.

With the induction of these two aircraft, the strength of Airblue’s fleet has increased to eight aircraft. However, the private airline had to abandon its plan of operating the new aircraft to Sharjah after the aviation authorities there withheld the permission.

Pakistan’s CAA is negotiating with its counterpart in Sharjah to resolve the issue, said AVM Habib. Airblue has reconfigured all its aircraft to all-economy model to save cost.

Airblue adds two new A319 aircraft
 

KARACHI: Favorable government policies, conducive environment and concerted efforts, have galvanized cargo handling at Karachi Port Trust (KPT), as evident from the statistics of July 2008, a statement said on Monday. The total cargo handling at Karachi port in July 2008 recorded a gain of 19.18 percent. During the period, 3.54 million tonnes cargo was handled as compared to the 2.97 million tonnes in the corresponding period last year. Significant rise has been in the exports, primarily comprising of cement, clinker, molasses and ethanol. A total of 1.28 million tonnes were handled against 0.74 million tonnes last July. staff report
 

ISLAMABAD (August 21 2008): Federal Minister for Finance Syed Naveed Qamar has said that Public Private Partnership (PPP) is an essential option for infrastructure development to augment government's efforts and resources for the development of the country. Pakistan's structured programme and framework in this regard will help private sector participation in development of infrastructure projects in the country.

Syed Naveed Qamar made these remarks while chairing a meeting of the Board of Directors of the Infrastructure Project Development Facility (IPDF) in Islamabad on Wednesday.

The meeting was attended, in addition to Finance Minister Syed Naveed Qamar, by the Advisor on PPPs Ghulam Murtaza Satti, Board Members Dr Sania Nishtar, Salim Raza, Suhail Safdar, Secretary Planning Commission, Farrukh Qayyum, Secretary Finance, Aamir Qawi Acting CEO of IPDF. Additional Finance Secretary PMSP, and Joint Secretary PMSP also attended the meeting on special invitation.

The finance minister stated that co-ordinated efforts being taken by the Planning Commission under the leadership of Salman Farooqi, Deputy Chairman, Planning Commission, Ministry of Finance and IPDF would result in the promotion and development of infrastructure in the country. "Planning Commission and the Ministry of Finance are facilitating the enabling framework for the identification, evaluation and development of the infrastructure projects under the PPP modality," he said.

Naveed Qamar further stated that regional and global experience demonstrates that Public Private Partnership programme is imperative to revitalise and restructure Pakistan's economy. "We are committed to the principles of value for money and affordability for delivery of more, better, affordable and faster services to the people of Pakistan.

Ghulam Murtaza Satti said that a number of initiatives are already under way, including Environment Friendly Public Transport (CNG Buses) Service, Islamabad IT Park, Multipurpose Water Reservoirs, FBR Automation Project etc. As a result of combined efforts of IPDF, Planning Commission and Ministry of Finance, more foreign investment is expected in the infrastructure projects under public private partnership modality, he added.

The government recognises the Public Private Partnership as an essential option for infrastructure development in the country, there is a need to identify projects which can be launched under the Public Private Partnership modality to relieve the burden on the public sector in the immediate term. Public Private Partnership cannot be accomplished in a vacuum without the support of all the stakeholders including various government agencies, departments, private sector and most importantly the people of Pakistan without whose continued support and understanding, this process cannot be undertaken successfully.-PR
 

PESHAWAR (August 21 2008): NWFP Governor Owais Ahmad Ghani has said that a concrete plan was in the offing for expansion of Peshawar International Airport, saying a number of airlines have expressed willingness to start flights from Peshawar.

Addressing as chief guest at the Fifth Businessman of the Year Gold Medals and Export Trophy Awards held under the auspices of the Sarhad Chamber of Commerce and Industry, he said that on the completion of the expansion of airport the business community would be provided cargo services on vast level, adding a new railway alignment is being developed to link Jamrud.

The Gwadar seaport, the governor said, has become another major contributor towards generating economic activities in this province especially the Peshawar, which offers a lot of opportunities to the local entrepreneurs as well. Besides, he added, the entire region has to become energy corridor at the international level and there exists vast potential to generate more economic activities through this process in future too.

Regarding situation in Fata, he said the government is following a multi-pronged strategy to combat the menace of terrorism and militancy, especially in line with the nature of issues, the country is confronted and there is dire need that the entire nation must comprehend the gravity of the problems and play its due role in this respect.

Ghani particularly mentioned the situation in this province and Fata and said that dialogue process gets lead followed by carrying out rapid economic development activities with special priority to comparatively less developed areas and application of force when and wherever required to tackle law and order problems in any area.

It is because of our this strategy that the situation in South Waziristan, and Khyber Agencies as well as district Swat is much better as compared to few months back, he said.

Our direction is on positive lines and the situation is further improving gradually, he said. The situation in Bajaur Agency, he added, is also in the improving trend and not only the displaced people have started returning their homes but also ready to stand to practically support the steps being taken by the government against the militants. The Lucky Cement maintained its tradition of achieving maximum number of gold medals and awards and was adjudged the top most industrialist, importer and sales tax payer categories while the Gadoon Textiles; another industrial unit of the same investors was declared the top most income tax payer and awarded gold medal.

Similarly, the Khyber Trading Company also maintained its tradition and got the gold medal for becoming top most exporter while the General Trading Company was given the gold medal for becoming top most importer in the retail sector of the province whereas Muhammad Ali & Company achieved the gold medal for becoming top most income tax payer in the trading sector. Ibrar Sethi received the medal for being adjudged the top most income tax payer in the retail sector.

Amongst the banks, the MCB Ltd while maintaining its past tradition, achieved gold medal for its best export performance followed by the Bank of Khyber, which remained runner-up while the Bank of Al-Falah achieved the gold medal for its best performance in the import sector. The MCB remained the runner-up in later category as well. Awards were also given to different institutions and individuals both in the private and public sectors for their extra-ordinary performance in various categories of economy over the year.

The governor also highly appreciated the holding the awards ceremony and described it a glaring achievement on the part of the members of the Chamber. He also assured to continue his fullest support to further promote industrialisation and develop prospects for trade development in the province.

While congratulating the award winners, the governor described it a big achievement not only on the part of their personal capacities but the overall economic well being of the people of the province and the country and expressed the confidence that they would continue their struggle vigorously in future too.

Senator Ilays Ahmed Bilour and Awards Committee Chairman Zahid Shinwari also addressed the ceremony and highlighted the prospects for further promoting exports from this province as well as the hindrances and difficulties being confronted by the exporters in this respect.

Haji Muhammad Asif, President and Usman Bilour; another office-bearer of Sarhad Chamber of Commerce and Industry earlier, welcoming the guests highlighted achievements of the organisation. Referring to the importance of the event, they said, it is proving a great source of promoting healthy competition amongst exporters and entrepreneurs in a pleasant atmosphere. This time, it was added, a number of new categories have been added in the list of award winners which especially included the fresh fruits and vegetable exporters.

They also demanded for enhancement of the cargo capacity of PIA as well as special efforts to maintain law and order and ensure safety and security of businessmen. Besides a larger number of traders, industrialists, bankers, entrepreneurs and the government officials, ceremony was also attended by Senator Abdul Razzaq, provincial Senior Minister Bashir Ahmed Bilour, provincial ministers, Mian Iftikhar Hussain, Syed Ahmed Hussain Shah, Ahmed Hassan Khan, and Hidayatullah Khan.
 
Pakistan International Airlines starts service from Nawabshah and Hyderabad
Thursday, 21 August 2008 01:28 daily.pk
Pakistan International Airlines has announced to launch flights from historic cities of Hyderabad and Nawabshah to Islamabad and Lahore, starting from 19th.

Initially the PIA will operate two weekly flights, every Tuesday and Friday, spokesman of the airline said here on Wednesday.


He said that initially the airline would operate twice a week but it would be expanded with the passage of time in view of increasing the number of passengers.
 

KARACHI (August 22 2008): Whereas, the exports come to grinding halt, imported cargo is piling up at ports due to the non-availability of transport in the wake of continued wheel-jam strike by the cargo carriers.

The Karachi Goods Carriers Association announced strike for an indefinite period on Tuesday against the increase in diesel prices, 100 percent rise in toll tax by the government and rising incidents of truck hijacking in Sindh, besides non-payment of compensation for December 27 arsoning and looting.

The goods transporters parked over 10,000 trucks, container carriers and other loading transports on the Keamari and Hawksbay roads and announced that the strike will continue till the acceptance of their demands. "The goods transporters have refused to take the cargo from the ports to factories and factories to ports, therefore, the imported goods are stuck up at ports. The ready goods for exports are also lying at factories for last three days," exporters said.

Due to the strike thousands of containers have been stuck up at both ports including Karachi port and Port Qasim and importers are unable to take the delivery. "Our export consignments are also lying at our units for last three days and delay in the shipment would cause millions of rupees losses," they added.

They said although ships are coming to take Pakistani export cargo for their destinations, however export activity has come to a standstill and no movement of goods from factory to the port took place, which resulted in the delay in shipments. "Goods, which will be missing their vessels due to this strike, would need to be shipped by air by exporters in order to cater for customers," they said.

There's no import movement from the port, which will result in port congestion and heavy demurrage, they added. "The country's exporters especially textile sector is already struggling to increase exports but these strikes are causing great damage to exporters," they added.

On the other hand, the Sindh government has made it clear that the diesel price and compensation of December 27 carnage is the federal government issue, however, the transport department has assured the transporters that it will consider certain demands if they call off strike.

Acting chairman of Pakistan Hosiery Manufacturers Association Muhammad Khalid Mukashi has sent a letter to the chief minister, transport minister and provincial secretary transport by inviting its attention towards the goods transporters' strike. "A large number of PHMA members and other exporters are facing serious problems due to the ongoing goods transport strike," Khalid Mukashi said.

He said that due to the persistent strike, exporters are unable to deliver their export cargo to seaport, with the result the exports are missing the scheduled vessels. Unfortunately, exporters are denied any extension from their foreign buyers, consequently, such cargo will have to be sent through air , causing huge losses, he added.

He appealed to the government to intervene in the matter so that this strike is called off immediately to save the country from huge losses. Meanwhile, the acting Chairman, SITE Association of Industry, Zafar Ahmed has expressed serious concern over the transporters' strike and appealed to the Prime Minister, finance minister, Sindh governor and chief minister to look into the matter and resolve the issue immediately.
 

KARACHI: Airblue started its flight operations between Lahore and Abu Dhabi on Monday with a 144-seater new Airbus A319 aircraft.

Airblue, now having the youngest fleet in Pakistan, will be operating four flights in a week that will be increased to a daily flight. To meet the ultimate market demand, Airblue will eventually increase to two daily flights to cater to the heavy demand of passengers from northern Pakistan to Abu Dhabi.

Recently, Airblue had inducted two new Airbus A319 aircraft in its fleet that had planned to deploy on the domestic and international sectors.

The induction of the two new aircraft has increased the size of Airblue’s fleet to eight aircraft including three Airbus A321s, three Airbus A320s and two Airbus A319s.
 

ISLAMABAD (August 28 2008): The Capital Development Authority (CDA) Board has approved restoration of the Northern Carriage Way of Kashmir Highway from garbage disposal point to Peshawar Morr Islamabad. The approval came in meeting held on Wednesday chaired by the CDA Chairman, Kamran Lashari.

Member, Finance, Kamran Ali Qurashi, Member, Planning, Raja Nowsherwan, Member, Engineering, Tahir Shamshad, Member, Estate, Brigadier Asad Munir (Retd) and Member, Environment, Mazhar Hussain were also present on this occasion. The meeting also discussed the charges for allotment of plots to Foreign Missions in Diplomatic Enclave. It decided that the matter would be finalised in the light of the instructions issued by the Ministry of Foreign Affairs.

The CDA Board also approved construction of the official residence for the speaker of the National Assembly of Pakistan. Further, it expressed their grief over the sad demise of the Director Administration, Gul Hussain who died of heart failure on Tuesday. Later, the meeting offered fateha for the departed soul and condoled with the bereaved family.
 

MIRPUR (August 28 2008): Azad Jammu Kashmir will soon have a grand highway-cum-motorway network, aimed at providing comfortable travelling facilities to the commuters and the AJK government has decided in principle to implement the plan under a phased programme, official sources said.

They told APP here on Wednesday that the AJK government has planned to establish a grand and latest roads network across AJK. Kashmir Highway Authority has already been established to execute the plan, they added. The proposed highways network of international standard from Keil to Bhimbher will be laid down by reputed and experienced construction companies including the contractors involved in the construction of the Silk Route linking Pakistan with China.

After completion of latest highways and motorway network across AJK toll tax system will be introduced in the area to collect the tax amount to meet onward expenditures of similar public welfare projects. Sources said that 'Slide Management System' has been introduced in AJK to make all AJK highways usable round-the-clock. They said that it is aimed to ensure interruption-free travelling facilities to the masses in the mountainous areas where travellers have to suffer long delays because of landslides.

Official sources said that experts including engineers involved in development projects of public welfare including roads and highways will have to declare life time of each projects. The AJK government has already warned that there would be no compromise on quality of the development projects in the liberated area.

The officials have launched a broad-based plan for speedy development and uplift of AJK in line with the means of modern construction with special focus to convert the area into a true model and welfare state under the spirit of Prime Minister Attique's broad-based vision of 'Green and Skilled Kashmir', sources added.
 

ISLAMABAD (August 29 2008): US Chamber of Commerce and the Ministry of Finance have developed consensus on increased Pak-US commercial interaction for public and private sector development to progressively increase investment in infrastructure and energy sectors in Pakistan.

US Chamber of Commerce delegation led by Lieutenant General Daniel W Christman (Retd), Senior Vice President for International Affairs accompanied by Jay Collins, Chairman, US-Pakistan Business Council met Finance Minister Syed Naveed Qamar, here on Thursday.

The US delegation is in Pakistan to explore avenues for closer co-operation in commercial and trade sectors between the two countries. The US Chamber of Commerce represents US foreign business leaders whose efforts focus on development of leadership-to-leadership relationship on international issues affecting the business community.

The Finance Minister briefed the US delegation about latest economic and business development initiatives of government of Pakistan that not only focus strengthening of internal economy but also take stock of GoP's business and commercial relationship with regional states and the developed world.

US delegates discussed the possibility of adding to the frequency of business-commercial partnership between the two countries in the context of financial investors' perspective that would take the two allies further on way to expanded relationship.

The Finance Minister reciprocated the US delegation's viewpoint, adding that political scenario following post-September 2008 presidential elections in Pakistan would complete the democratic process and the country would attain substantial political stability that forms essential part of economic stability and progress. The GoP currently is geared to come out with a multi-pronged positive economic trends and policy framework - notwithstanding the ongoing global energy crisis - that would place the country at par with other stable developing countries' economies. Macroeconomic stability is primary agenda of the present government, the Finance Minister added.

The Finance Minister further informed the US delegates that during recent months GoP has taken certain hard fiscal decisions that potentially would impact attaining stable economic indicators down the road. Pakistan looks forward to working with the US in all economical fields in times to come, he stressed.

The delegation presented their country's financial community perspective on market economy, individual investors initiative for across the country investment which certainly take into account GoP's privatisation programme and other external investment portfolios being opened to the world.

The Finance Minister explained to the delegation Pakistan's financial instruments being put in place in all fiscal and economic sectors that take stock of all micro and macro issues prioritised on GoP agenda, which contains all market-based monetary incentives. He added that agriculture in Pakistan is an engine of economic growth and the government is fully committed to boosting it for achieving better crop yield, and Pakistan welcomes foreign investment in portfolio-based projects in all sectors of economy focusing energy, agriculture and infrastructural development.
 

ISLAMABAD (August 31 2008): Over 70 percent work of Rs eight billion Lowari Tunnel project on Nowshera-Dir-Chitral Road (N-45) has been completed and the project would be completed by next year, a source in National Highway Authority (NHA) told APP on Saturday.

He said that over 75 percent work of 9 kilometres each access road on both sides of the tunnel has also been completed. The 8.6 km-long rail tunnel will provide all-weather communication linkage to the Chitral Valley, which remains cut-off with other parts of the country in winter. It would also facilitate Pakistan's link with landlocked Central Asian state of Tajikistan via a narrow strip of Afghanistan. With its completion, distance between Peshawar and Chitral would be reduced to five or six hours from 12 or 14 hours, he added.

Work on the project started in 2005 and it was formally inaugurated by former President Pervez Musharraf in July 2006. A Korean firm is constructing around 9 kilometres long, 7.5 metre wide and 7 metre high tunnel. The source said that the project would be completed in two phases. In the first phase tunnel would be constructed while in the second phase a railway track would be laid, he added. He said it would be the biggest freight tunnel in Asia, adding that the project is a joint venture between Korean firm Sambu and some Pakistani firms.

It was more than 45 years back when first feasibility was taken up by the government in 1955 and the first construction was undertaken under the Frontier Works Organisation in 1975 during Zulfikar Ali Bhutto's regime. The FWO carried out tunnelling operation up to 500 meters but the then ruler President Ziaul Haq abandoned the project.
 

Wednesday, September 03, 2008

KARACHI: German airline Lufthansa announced on Tuesday stopping all flights to Pakistan citing some unspecified commercial reasons.

In a statement, it said flights between Lahore and Frankfurt will close from October 25 without detailing the reasons for the move and just months after it had stopped flights to Karachi.

Lufthansa flights between Pakistan and Germany were launched in October last year. It currently connects Lahore to Frankfurt thrice weekly with an Airbus 300-600.

“Passengers who are already booked on Lufthansa flights from Pakistan to Germany will be informed and rebooked to alternative flight connections via Lufthansa gateways.”

The German carrier had stopped flights to Karachi earlier this year, just months after it resumed flights to Pakistan after a gap of almost nine years. It had rolled back its operations in 1998.
 

ISTANBUL (September 10 2008): The Turkish Airlines, the national flag carrier, is keen to start a daily flight from Istanbul to Karachi, Lahore and Islamabad. This was stated by the Chief Executive Officer of the Turkish Airlines, Dr Temel Kotil, in an interview here.

He said that the Civil Aviation Authority (CAA) of Pakistan is being approached for seeking the necessary approval for this very purpose. Dr Kotil, who is also a member of the IATA Board, said that the initiation of the daily flights from Istanbul to the Pakistani cities will not only help spur the tourism and the commercial activities between Turkey and Pakistan but also the interaction between the people of our two brotherly countries.

Istanbul is the headquarter of the Turkish Airlines which has a fleet of 111 aircraft that include A340-300, A330, A321, A320, A319, B737-400, B737-800. Dr Kotil said that the Turkish Airlines was the fastest growing airline in Europe and that it had opened 24 new routes in the year 2006. He further pointed out that the airline was planning to add 11 more aircraft within this year.

Utku Yazan, the Country Manager of Turkish Airlines in Pakistan, who was also present on the occasion, said that currently there are four flights a week from Istanbul to Karachi but we desire a daily flight from Istanbul to Karachi, Lahore and Islamabad. Utku stated that the CAA of Pakistan is being approached for this very purpose.
 
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