ISLAMABAD:

The government has introduced a package of fiscal incentives offering up to 60% concessions in port charges to attract foreign-flagged transshipment vessels to Karachi Port, aiming to increase shipping activity and improve its regional standing.

Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry announced the measures while chairing a high-level meeting, according to a statement issued on Thursday.

He described the incentives as part of a broader strategy to boost maritime 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,” the minister said.

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

The minister said incentives linked to the number of monthly ship calls had been enhanced compared to previous policies, while the minimum transshipment 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 transshipment volumes.

Under the policy, vessels carrying transshipment cargo equivalent to 50% of their gross registered tonnage (GRT) will qualify for a flat 60% discount on port dues, with the rate set at $1.18 per GRT.

Large container ships carrying at least 25% transshipment cargo will be eligible for up to a 50% discount on applicable wet charges.

Ships using environmentally friendly fuels will receive an additional 5% reduction in berthing charges. The minister said the initiative aims to position Karachi as a cost-effective and efficient gateway for global shipping while supporting operational scale and environmental responsibility.