Newsletter - Publication 203

15th July 2025


Pakistan’s First National Dredging and Marine Services company

Pakistan has launched its first National Dredging and Marine Services (NDMS) company in alliance with the Port Qasim Authority (PQA), Karachi Port Trust (KPT), Gwadar Port Authority (GPA), and the National Logistics Corporation (NLC). By launching domestic dredging capacity, Pakistan confirms unremitting continuous year-round operations and advanced efficiency of its maritime infrastructure at its ports. The new entity is intended to provide sustainable, cost-effective dredging solutions, reducing the need for foreign contractors and helping cut operational expenses at key seaports across the country. In October 2025, operations will commence with a focus on capital dredging at Port Qasim, one of Pakistan’s busiest deep-sea ports. The beginning of Pakistan’s exertions to develop and progress gradually in its own dredging capabilities.


FBR To Suspend Registration of Non – Compliant Terminal Operators

The Federal Board of Revenue (FBR) has issued new customs order to suspend or withdraw the registration of terminal operators at sea ports, off-dock terminal operators must adhere standards outlined in rule 554A and follow procedures provided by FBR in July 2024, Customs Computerized System registered dry ports and land border stations that are registered as terminal operators, if they fail to meet minimum requirements for infrastructure, information technology, and documentation. The decision follows the issuance of Customs General Order (CGO) on 7 of 2025. To implement these regulations the concerned regulatory collectorate has outlined regular inspection and monitoring after every six months. The inspection report will feature whether each minimum requirement has been met required standards. If deficiencies are found, terminal operators will be given 15 days to address the issues and submit a compliance report. As per rule 553 of the Customs Rules, 2001 and Section 155F of the Customs Act, 1969 if failure to comply will result in the suspension or cancellation of the operator’s registration.


Undersea Tunnel Between Gwadar and Oman

Idea of initiating undersea tunnel between Gwadar and Oman introduced by Pakistan’s Planning Ministry in July 2025 as part of Gwadar’s transformation into a major regional hub. Gwadar’s geostrategic potential, the shortest and most cost-effective trade route linking South Asia to the Gulf and landlocked Central Asian nations. The vision of launching a four-nation consortium (likely involving Pakistan, Oman, GCC states, and China) to carry out a pre-feasibility study for an undersea tunnel between Gwadar and Oman, aimed at linking South Asia with the Gulf Cooperation Council (GCC) region. This led to enhanced transshipment, trade, tourism, and reduce dependency on longer maritime routes. The project could unlock significant economic potential through increased trade, investment, tourism, and regional transit.


Second Phase of Oil Supply Chain Digitization

To restrict illegal practices such as fuel decanting and cross-border smuggling with modernizing Pakistan’s petroleum sector, OGRA launched a Track & Trace system in the second phase of flagship initiative at digitizing the oil supply chain in collaboration with the Punjab Information Technology Board (PITB) to improved transparency, operational efficiency and competence, along with enhanced regulatory oversight and lapses in the downstream oil sector. This system will deliver end-to-end digital tracking of petroleum product movement from refineries and import terminals to storage depots, oil tankers, and retail outlets making it real-time monitoring possible through Enterprise resource planning platforms (ERP – software), Global Positioning System (GPS – tracking), and centralized dashboards. Currently, more than 29 Oil Marketing Companies are functioning under ERP – based management systems, and about 15,000 oil tankers have been tailored with GPS devices, placing the groundwork for a full-scale nationwide rollout of the Track & Trace system. The second phase of digitization aligns with OGRA’s broader vision of adopting data-driven regulatory mechanisms to ensure accountability and safety in the energy sector.


Preferential Trade Agreement Talks between Pakistan and Vietnam

Reaffirming the commitment to boost bilateral economic cooperation between Pakistan and Vietnam Joint Trade Committee met after 8 years. Both countries have decided to negotiate for a Preferential Trade Agreement (PTA) within 2025, subsequent revival of high-level economic dialogue and reviewed the current state of bilateral trade to further strengthen cooperation in several key areas and the need to promote joint ventures along with increase business-to-business linkages across sectors such as agriculture, smoothing trade flows and facilitation, market access, Halal certification, healthcare and pharmaceuticals, leather and textile goods, fisheries, civil aviation, energy, banking and information technology. PTA explored reducing trade barriers by reducing tariffs on selected goods and improving institutional and business linkages to unlock untapped trade potential.


Pakistan to Reduce Container Dwell Time by 70%

The Ministry for Maritime Affairs has announced in a high-level committee about reducing the container dwell time at ports by up to 70% and is intended at reducing port congestion with improved flow of goods. Reduction in dwell time is essential to streamline processes for improving port and logistics efficiency, lowering logistics costs, and strengthening Pakistan’s position in regional trade, the delays in container release had been increasing costs for both importers and exporters, reducing the competitiveness of Pakistani ports. The intention is to reduce container dwell time from one week to just two days. To make it sustainable identification of key measures to eradicate technical bottlenecks of cargo clearance processes and is expected to present a set of factual recommendations within ten days. To track the container handling processes and utilize drones and AI technology to monitor vessel docking and container movement at the Ministry of Maritime Affairs.


Copper Ingots Shipment to Hong Kong

BECO steel eyes international market expansion as part of growth strategy with successful export of its first consignment of copper ingots to Hong Kong, China. The copper ingots were extracted from remittable scrap available within its existing raw material inventory. The shipment marks the steelmaker’s deliberated expedition into international trade as it pursues to expand revenue streams and widen its profitable footmark beyond native marketplaces. The development comes at a time when local manufacturers are increasingly turning to export opportunities to hedge against domestic market volatility and leverage global demand for metal-based commodities.


Concessional Land Rates for Local Investors at Gwadar Free Zone

Gwadar Port Authority has intreated native stockholders to establish industrial units in the Gwadar Free Zone while offering land at concessional rates. The government would prioritize the allocation of plots to investors in the Free Zone with other incentives available for those investing in Gwadar, including a 23-year tax holiday, exemptions on customs duties, and the provision of modern infrastructure and international-standard amenities such as the long-awaited water desalination facility for the city would soon be operational, addressing critical water supply challenges in the region. The initiative is aimed at advancing the region’s economic development with other necessities to support local stakeholders in Gwadar.


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