Gwadar - A Jewel in the Crown

[Neo]

http://www.surf-forecast.com/breaks/GwadarWest.1to3.shtml

 

[Neo]

A Beach View

 

[RAPTOR]

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The Gwadar City/Town would have to be constructed very skillfully catering for the needs of growing influx of population and commercial and trade activities that follow suit. The land of Gawadar city is been carved out into various domains such as:​

1: Commercial.
2: Residential Industrial zone.
3: Export processing zone.
4: Oil and Gas Storage.
5: Railways and Container Yard.
6: Live Stock and Farming.
7: Hotel and Resorts.

Excellent post neo..:thumbsup:

 

[Neo]

​

An ambitious plan was being finalised to impart technical training on 300,000 more youth in a bid to provide industries with skilled manpower, Minister of State for Finance Umer Ayub Khan has said.
A national training authority has already been set up for enhancing capacity of talented youth. The thrust was also being laid to provide training to workers so as they prove helpful for increasing the productivity of an organisation, he said while talking to PTV.
Competitive Support Programme has also been established for enabling people to enhance their capabilities.
In May next leading experts of productivity and competitiveness have been invited from across the world for sharing their experiences with Pakistani stake holders, he added.
Country's economy was expanding persistently. The capacity of cement sector has enhanced to 24 million tonnes from mere 16 million tonnes in 1999. Within a couple of years it would be more than 36 million tonnes, he said.
China Development Bank having assets of more than $ 200 billion was coming and concentrating on Pakistan. Gwadar port would be connected to China to promote trade and economy.

 

[Neo]

..ABOUT GWADAR [COLOR=#00000]

[/COLOR][COLOR=#00000]It’s amazing that tomorrow’s small fishing village ‘Gwadar’ is fast emerging as a Deep Sea Port today. This is important to note that the Government of Pakistan, keeping in view its utmost significance in the area, has declared ‘Gwadar’ as a Duty Free Port and a Free Economic Zone. This has not only enhanced its commercial worth manifold but has also accelerated the pace of development to an incredible extent.[/COLOR] [FONT=Arial, Helvetica, sans-serif]In fact, Gwadar enjoys the status of a third Deep Sea Port of Pakistan which has a special significance with reference to trade links with Central Asian Countries, Persian Gulf, East Africa, United Arab Emirates and North Western India.[/FONT]
[FONT=Arial, Helvetica, sans-serif]Gwadar by virtue of its finest location, development projects, recreation programmes and Government’s special attention, will soon turn into a city which will be comparable with cities like Singapore, Hong Kong and Dubai.[/FONT]
[FONT=Arial, Helvetica, sans-serif]In view of the promising future of Gwadar, people from Pakistan and abroad who believe in safe and sound investment, are taking keen interest in Gwadar.
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[FONT=Arial, Helvetica, sans-serif]Historical Info
[/FONT][FONT=Arial, Helvetica, sans-serif]Located at the entrance of the Persian Gulf and about 460 kms from Karachi, Gwadar has had immense Geostrategic significance on many accounts. The continued unstable regional environment in the Persian Gulf in particular as a result of the Iran/Iraq war, the Gulf war and the emergence of the new Central Asian States has added to this importance. Considering the Geo-economic imperative of the regional changes, the ADB’s Ports Master Plan studies considered an alternate to the Persian Gulf Ports to capture the transit trade of the Central Asian Republic (CAR) as well as the trans-shipment trade of the region. Both Karachi and PQA were considered for such development but were found unattractive to major shipping lines due to the remoteness from the main shipping routes, the limitations of draft for mother ships and large bulk oil carriers and the comparative long turn around times. The ADB studies, however considered Gwadar to have the most advantageous location for such an alternative port in the region, which could handle mother ships and large oil tankers in due course. Keeping that aspect in view as well as the inherent strategic and economic benefits that Gwadar Port offered, the transport plan of the 8th Five Year Plan (1993-94) of Pakistan included the development of Gwadar Port as an essential element of its aims and objectives. Technical and financial feasibilities therefore were under taken resulting in decisions for the development of Gwadar Port by the Govt. of Pakistan. The Project started on 22 March 2002, is on fast track and will Inshaullah complete in schedule time i.e March 2005. In fact it would surprise many that with initiative and calculated risk, we have received merchant ships since Jan 2003 and have been able to off load hundreds of tones of cargo imported for the Project, thus saving precious time and money which otherwise is required for transportation of the same cargo by road from Karachi/PQA to Gwadar.[/FONT]
[FONT=Arial, Helvetica, sans-serif]Gawadar At A Glance
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Gawadar is the District Headquarter of Makran Division in Balochistan, the largest province of Islamic Republic of Pakistan. It is situated on the coastal line of Makran. Along the coastal line ,there are four Tehsils including Gawadar, Jiwani, Kulanch and Ormara. Jiwani is the only one on the western part of Gawadar, joining Iranian border on Pakistani side. Kulanch and Ormara, on its eastern side are connecting District Lasbela and to Karachi finally. The distance between Gawadar and Karachi in this way, is around 715 km.[/FONT]
[FONT=Arial, Helvetica, sans-serif]Geo-Political Importance Of Gawadar
[/FONT][FONT=Arial, Helvetica, sans-serif]Dubai is the hub of business not only for Gulf but also for rest of the world including Europe, United States, Africa, China and Central Asian States, simultaneously. The gulf region is facing many political conflicts at the moment and huge disturbances in the current administrative structure are expected in the coming years. In such a scenario, a substitute of Dubai is essential to be located before the crisis hits the finances of millions. The substitute shall be a nearest point probably, to ensure continuous supply line of oil from Gulf to the outer world. Fortunately, Gawadar proves to be the nearest and infact more cost-effective substitute of Dubai, from many aspects.[/FONT]
[FONT=Arial, Helvetica, sans-serif]China is emerging as a super economic power of the world in the recent years. Despite occupying a huge area of world's land, it doesn't have any port of hot waters, which can be used the whole year. The distance of Chinese industrial approach to the Shinghai port is approximately 16000 km and the sea travel of 2-3 months is additional. This costs them a lot in the form of taxes and duties as well. As compared to this, Gawadar port is only on a distance of 2500 km from China and the port is working for the whole year because of the hot waters here. Therefore, the interest of China in the development of Gawadar port is infact in the interest of Chinese economy.[/FONT]
[FONT=Arial, Helvetica, sans-serif]The central Asian states, after the independence from USSR, are trying to develop their economies. These states are land locked and Karachi was expected to provide them the services through Afghanistan. For the purpose, a highway from Peshawar to Karachi was constructed but due to Afghan crisis, this line couldn't be established. The Afghan situation is till not clear, so, Gawadar being near to Iranian border will provide port facilities to Central Asia as well.[/FONT]
[FONT=Arial, Helvetica, sans-serif]Geo-Economic Importance Of Gawadar
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With a population of 160000, the Gawadar Town on Makran Coast is now set to become a hub of shipping, commercial and industrial activities. Pakistan and China had signed a comprehensive agreement on March 16, 2002 at Beijing undertaking the task of construction of Gawadar deep seaport of universal standards. The work on the first phase of this mega project, which is being constructed by Chinese Harbor Engineering Company, is now at full swing. The project is bound to be a vital landmark in the economic development of the region. The port comes as a much-needed national requirement in the wake of the rise in cargo traffic at Keamari and Bin Qasim, which are operating at full capacity. It is expected that Pakistan's maritime traffic would rise by three folds by 2010. With the construction of a third port, it is estimated that Pakistan will not only be able to meet its own requirements of the future but also offer its port facilities to the neighboring countries.[/FONT]
[FONT=Arial, Helvetica, sans-serif]Gawadar is now destined to be the most important upcoming coastal town located on the inter junction of the three most strategically and economically important regions of the world that are oil rich Middle East, South Asia where one- fifth of world population lives and the Central Asian Republics endowed with mineral wealth and an educated and highly skilled and disciplined workforce.[/FONT]

 

[Neo]

Tuesday, May 16, 2006

KARACHI: The private sector airline, Airblue will start service to Gwadar, Balochistan from May 22.

PIA was operating on this socio-economic route and now airblue, too will operate on this sector, as government requirement or all airlines will also operate on socio-economic routes.

“We will start with two flights daily using two 19-seater Beachcraft planes 1900C acquired by the airline on wet lease from a local company JC Air”, said Shahid Khaqan Abbasi, chief operating officer of Airblue.

 

[Neo]

The distance from Gilgit to Gwadar is fairly long -- but not enough when the Chinese are interested in building highways. Just as China is completing the construction of the Sust dry port in the Gilgit region, the Makran Coastal Highway and the Gwadar deep-sea port in Balochistan, it is now poised to expand and realign the Karakoram Highway which will enable it to access the port to facilitate exports from Chinese factories located in north-western China. Situated at the cusp of the Strait of Hormuz through which about 40% of the world's oil flows, the Gwadar port is being completed with financial assistance from China. In some ways, part of Gwadar's potential to become the future trade and energy hub for the growing economies of West, South and East Asia and the landlocked Central Asian Republics lies in the cutting down of transportation costs and time from Xinjiang province to the port.

Among the series of agreements signed by the two countries during President Musharraf's recent visit to China, a memorandum of understanding was inked for the realignment and expansion of the Karakoram Highway. This agreement could not have come at a better time for Pakistan. The country had to reconstruct a major part of the highway because of the Diamir (Basha) Dam project anyway. The proposed dam will submerge 110 kilometres of the highway from Sazine to Raikot Bridge near Nanga Parbat. The dam will also entail the expansion and upgrading of another 323km from Havelian to the dam site, in order to facilitate unhindered movement of heavy machinery, equipment and vehicles up to the dam site in the Northern Areas. The highway runs parallel to the Indus River up to Gilgit and then bends westward toward Khunjrab Pass through rugged terrain situated at between 4,000ft and 15,500ft above mean sea level into the Chinese Xinjiang province.

It took 12 years (1966-78), billions of yens, and around 1,100 lives of Chinese construction workers to carve out the Karakoram Highway over the Karakoram Mountains, the Frontier Works Organisation played an important role in the construction from the Pakistan side. But given the progress made during the last few decades in road-building material, techniques and technology, it would be possible to expand and realign the highway in a much shorter period of time.

The Karakoram Highway is perhaps the most important strategic link between Pakistan and China. It played an important part in cementing the bilateral relationship, be it transportation of heavy equipments to Chinese-assisted mega-projects in the country or spurring increased trade and commerce between the two countries. The growing US-India economic and nuclear cooperation is likely to give a new impetus to Pakistan-China relations. Although China and India have warmed up over the years and thorny border issues have been put on the backburner for the time being, the two still regard each other as natural competitors. The US-India long-term Strategic Partnership Agreement has made things more obvious. Pakistan, on the other hand, has served as a valuable geo-political connection for both the US and China. Pakistan facilitated Chinese links with the US during the cold war era. China also sees Pakistan as an important bridge to the Muslim world.

At the same time, improvement in Sino-Indian relations, changes in regional and global politics, and China's new and focused strategy of "peace and development" is shaping newer areas of collaboration between the two countries.

China has managed to sustain its extraordinary economic growth rate for decades now. It is bursting with products and services to reach out to new markets. The Karakoram Highway, built over the footmarks of the traders on the ancient Silk Route, offers a natural way for the manifestation of Chinese economic strength. But the true potential of the highway is yet to be fulfilled. Initially, except for inter-governmental exchanges, it was under-utilised, and, until the 1990s, small-time traders, mainly from the NWFP and Northern Areas, were its main beneficiaries. This is changing. Today there are around 250 Chinese-assisted small- and large-scale ongoing projects in Pakistan. About 60 Chinese companies have opened, or are in the process of opening, offices in different parts of the country.

The Chinese, however, remain wary of rising extremist elements in Pakistan. Until the '90s there were free exchanges between traders in China and Pakistan. Problems surfaced when Islamic preachers and jihadis started to frequent the Muslim-dominated Xinjiang province, which sent alarm bells ringing in Beijing. Sensing the inevitable radicalisation China asked Pakistan to check the militant ideology knocking at its doors. A handful of Chinese students in Pakistani seminaries were repatriated and the Chinese reportedly weeded out a couple of hundred radical Muslims in Xinjiang province, who according to them were infected with Talibanisation. Thereafter, the visa regime for ordinary Pakistani border traders was reviewed and the number of Pakistani traders travelling to Xinjiang has gone down. Nonetheless, visa facilities for people of the Northern Areas remained positive, and traders belonging to the Northern Areas were granted special permits to enter and leave Xinjiang provinces under an agreement between the Northern Areas Administration and the Xinjiang Autonomous Region.

The Karakoram Highway has been the most influential catalyst for socio-economic transformation in the Northern Areas. Other key factors have been the strong NGO movement spearheaded by the Aga Khan Development Network and military-driven infrastructure development. In recent times the annual development budget has also seen an upsurge. Apart from the highway, the Northern Areas were backward and remote peripheries. The highway connected these isolated communities with the outside world. Increased tourism, trade and economic activities improved the socio-economic conditions of the people. On the other hand, centuries of harmonious social, cultural and natural environment was threatened by new challenges and the change in demography.

China is investing in a range of infrastructure projects in different parts of the Northern Areas. Besides the construction and maintenance of the Karakoram Highway, the Chinese have been working on a range of projects, including hydro-power generation, the dry port, water-diversion channels, bridges, telecommunication and trade. Water is another emerging area for Chinese collaboration. President Musharraf seems determined to build a number of dams in the Northern Areas, which contain Asia's largest naturally-formed glacier system. The site selected for the first such dam is situated in Diamir district. Given China's experience and expertise in building dams in mountain areas, it is likely that the Chinese will be investing more in water-sector projects in the area.

The official websites of Pakistan's embassies and high commissions have started to display new maps in which the whole of the Northern Areas are being shown as part of Pakistan. In the earlier maps the region was lumped together with Jammu and Kashmir as disputed territory. Many Pakistani maps used to show Gilgit as part of Pakistan and the Baltistan and Astore regions as part of the disputed area. It is not clear if India too has moved towards limiting the dispute to Azad Kashmir and Jammu and Kashmir minus Ladakh and parts of Jammu, or if it is just a unilateral test on the part of Islamabad. Whatever the case, the status of the people of Gilgit and Baltistan remains undefined.

Moreover, Islamabad has already been exploring the possibility of a highway connection between Gilgit and Tajikistan over the Pamirs through the Ghizer district of the Northern Areas. On the other hand, people in the Northern Areas (particularly Baltistan) have been calling for the opening of three traditional road links between the Northern Areas and Indian-administered Kashmir. If opened, these could create new economic opportunities in South Asia. These mountain Highways can become new arteries for the transportation of people, oil, machines, silk and spices along the energy-starved hinterlands of South Asia and China.

In the Balochi language the word "Gwadar" means "door for air." Gwadar is indeed on the road to become a source of oxygen for one-third of humanity and many a marginalised peoples.



The writer is an analyst from Skardu in the Northern Areas based in Islamabad

 

[Neo]

[FONT=Georgia, Times New Roman, Times, serif][/FONT] Elevation : 15,216 sq.km Population : 160,980 Language : Balochi Phone Code : 02042 Climate : Arid with warm summer and mild winter
[FONT=Verdana, Arial, Helvetica, sans-serif]INTRODUCTION Gwadar District, with its 600 kilometres long coast line and un-irrigated tracts of Kulanch and Dasht valleys, has always been an important chapter of Makran’s history. The known history of Makran goes back to the time of prophet Dawood when people entombed themselves to avoid famine. The area is said to be possessed by Iranian King Kaus followed by Afrasiab of Turan and then by Kai Khusrau, again an Iranian. Then there is a long list of rulers, including Lehrasp, Gushtasp, Bahman, Huma and Darab, to the year 325 BC when Alexander the Great incidentally found the sea in this area on his way from India to Macedonia.
Institutional History Gwadar: The first ever local government system introduced in Gwadar was Village Aid programme which was initiated in the whole of Makran district in June 1957. A total of 26 Village Councils were formed with a total strength of 312 councillors. This system was replaced by the Basic Democracies Order of 1959. Under the Basic Democracies system 19 Union Councils and 3 Town Committees were established in the whole of Makran district. In 1969, all these local government institutions were suspended and later on were totally abolished on 22nd January 1972. A new local government system was introduced in 1975 under the Balochistan Local Government Act 1975. This law could not be enforced in its true sense as the elections proposed under this act were never held. In 1979, another local government system was introduced in the country which was implemented in Balochistan under the Balochistan Local Government Ordinance 1980. This system is still enacted in the province. Under the provisions of this law, one District Council, 2 Municipal Committees, 2 Town Committees, and 13 Union Councils are functional in Gwadar district.
Gwadar background: Gwadar district, with its 600 kilometres long coast line and un-irrigated tracts of Kulanch and Dasht valleys, has always been an important chapter of Makran’s history. The known history of Makran goes back to the time of prophet Dawood when people entombed themselves to avoid famine. The area is said to be possessed by Iranian King Kaus followed by Afrasiab of Turan and then by Kai Khusrau, again an Iranian. Then there is a long list of rulers, including Lehrasp, Gushtasp, Bahman, Huma and Darab, to the year 325 BC when Alexander the Great incidentally found the sea in this area on his way from India to Macedonia. Greek historian Arrian has mentioned the coast line as the country of Ichthyophagoi. At that time Nearchos, the admiral of Alexander, sailed along the coast and mentioned places named Kalmat, Gwadar, Pishukan and Chahbar. Afterwards, the area was ruled by Seleukos Nikator, one of Alexander’s generals, who lost it to Chandragupta in 303 BC. Then the tract of history is lost in darkness for centuries. An account of this area is found in the beginning of the sixteenth century when the Portuguese found their way to India and captured several places along the Makran coast. In 1581 they burnt “the rich and beautiful city of Pasni” and Gwadar. Although many invaders conquered the land, mostly the local rulers, including Hots, Rinds, Maliks, Buledais and Gichkis, exercised authority in the area as the conquerors had no intentions to stay there.
Two regimes of local rulers, of Buledais and Gichkis, are worth mentioning here. The Buledais gained power with the rise of the Zikri sect. These rulers are said to be connected with the rulers of Maskat and were called Buledais with reference to the valley of Buleda where they resided. The Buledais ruled the area for more than a century up to the year 1740. In the last years of their regime they embraced Islam. The Zikri folk joined hands with the Gichkis who also were Zikris by faith. The family feuds and internal dissension between Gichkis resulted in nine successful expeditions (either partially or fully) by Mir Nasir Khan I. It is said, that the main motive behind all these expeditions, made by Mir Nasir Khan I, was to eliminate the Zikris as he belonged to the (anti-Zikri) Muslim faith. These expeditions resulted in a division of revenues between the Khan and Gichkis.
In the last quarter of the eighteenth century, Gwadar and the surrounding country fell into the hands of Maskat. Saiad Said succeeded to the masnad of Muscat in 1783 and had a dispute with his brother Saiad Sultan. The latter appears to have fled to Makran and entered into communication with Nasir Khan who granted him the Kalat share of the revenues of Gwadar. Saiad Sultan lived at Gwadar for some time and eventually succeeded in usurping the Sultanate of Maskat in 1797. He died in 1804 and during his sons reign, the Buledai chief of Sarbaz, Mir Dosten, is said to have acquired temporary possession of Gwadar, but a force sent from Maskat regained it. Although it is generally understood that the right of sovereignty in Gwadar was transferred by the Khans of Kalat to Maskat in perpetuity, the Khans and natives of Gwadar have always denounced this perception. The un-irrigated tracts of Kulanch and Dasht valleys have always been connected with Kech.
The first Afghan war (1838-39) directed attention of the British to the area. Major Goldsmith visited the area in 1861 and an Assistant Political Agent was appointed in Gwadar in 1863. Both Pasni and Gwadar have been ports of call for the steamers of the British India Steam Navigation Company. The first ever telegraphic link to this area was made in 1863 when Gwadar was linked to Karachi. Telegraph offices were opened at Gwadar and Pasni. Later post offices were opened at Gwadar in 1894 and at Pasni in 1903. Ormara was linked telegraphically in 1904.
After the division of the Indian subcontinent into two sovereign states, areas except Gwadar and its surroundings, joined the Balochistan States Union, as part of Makran state. In early 1949 along with Kalat, Lasbela and Kharan. In October 1955, Makran was given the status of a district of former West Pakistan province after its accession to Pakistan. In 1958, Gwadar and its surrounding area was reverted back from Maskat to Pakistan and was made a tehsil of Makran district. On 1st July 1970, when one unit was dissolved and Balochistan gained the status of a province, Makran became one of its 8 districts. On 1st July 1977, Makran was declared a division and was divided into three districts, named Panjgur, Turbat (renamed Kech) and Gwadar. Gwadar was notified as a district on July 1, 1977 with its headquarters at Gwadar town.
A stone-built domed shrine of some saint at Gwadar is said to be centuries old. It may be the same one indicated in the Gazetteer of Balochistan. A square fort along with a tower is present amidst the Memon Muhallah of Gwadar. It is near the old bungalow of the Assistant Political Agent to the Governor General (therefore renowned as governor’s house). Moreover, the fort of Saiad Sultan is still in good condition and is being used as a police station.
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[Neo]

May 23, 2006


Offering to lay pipelines to enable China to procure gas and oil through Iran and Central Asian Republics, Pakistan today said it looked to Beijing to build more nuclear power plants for it to offset the US refusal to extend the Indo-US nuclear deal to it.

Pakistan is exploring possibilities to construct an oil pipeline from its Chinese aided Gwader port in southwest Balochistan to Western China which would considerably reduce time and distance for transportation of oil to China from the Gulf countries, Pakistan Prime Minister Shaukat Aziz said.

Pakistan and China would soon be undertaking upgradation of the Karakorum highway that had been built with Chinese assistance to convert it into an all-weather corridor to facilitate bilateral trade, Aziz told a seminar here organised by Institute of Strategic Studies to mark 55 years of Pakistan-China ties. Islamabad is also exploring possibilities to construct oil and gas pipelines on its coastline to western China that will considerably shorten the distance and time for oil and gas transportation from Gulf countries to China, he said. "Setting up of a mega-refinery at Gwadar would further facilitate China's oil imports from our region. Our ports at Karachi and Gwadar can serve as the shortest access to the sea for Central Asia as well as Western China," he said. Gwader port in southwest Balochistan is being built with Chinese assistance.

 

[Neo]

Wednesday, May 24, 2006

* Aziz says oil refinery at Gwadar, pipeline to Western China, would quicken oil import for Beijing
* Says nuclear energy technology cooperation expanding

ISLAMABAD: Pakistan and China are considering a feasibility study for an oil pipeline from Gwadar port to Western China to transport China’s oil imports from the Gulf, Prime Minister Shaukat Aziz said on Tuesday.

The Gwadar and Karachi ports offer the shortest access to the Arabian Sea for Western China, as well as Central Asia, Aziz said at a seminar on 55 years of Pakistan-China relations, organised by the Institute of Strategic Studies.

An oil pipeline from Gwadar to Western China would greatly reduce the time and distance for oil transport from the Gulf to China, he said. A major oil refinery at Gwadar would further facilitate China’s oil imports.

Pakistan is now in a position to exploit its strategic location at the crossroads of South Asia, Central Asia and West Asia to promote “corridors of cooperation” including oil and gas pipelines, electricity grids, and transit trade, the prime minister said. He said the Karakorum Highway would soon be upgraded so it could remain open all year round.

The prime minister said the two countries were also expanding cooperation in nuclear energy and space technology. “A significant area of cooperation between Pakistan and China has been the harnessing of nuclear technology for peaceful purposes under international safeguards - for the production of electricity,” Aziz said. “The two countries are working towards further expanding cooperation in this area.”

Pakistan and China have always pursued their friendship for mutual benefit and never at the cost of any other country, Aziz said. “We have not sought hegemony nor shall we accept hegemony from any quarter. Our relationship is designed to promote security and cooperation with out neighbours as well as with our global partners,” he said.

“Our relations are not designed to be used against any third country. We do not subscribe to concepts such as balance of power, pre-emption and unilateralism. We believe in strengthening the United Nations system to address and resolve all regional and global issues,” he said.

Aziz said both countries seek a level playing field without trade barriers and tariff walls and Pakistan would welcome greater Chinese investment in its economy, particularly in infrastructure, telecommunication, energy, IT, construction, mining and textiles.

Answering questions, the prime minister said the biggest challenge facing the Sino-Pak relationship was to create new areas of cooperation and sustain their friendly relations.

He said Central and South Asian cooperation was imperative for the economic growth of the two regions. Stability in Afghanistan was vital to enhancing ties between the two regions vital. Pakistan is already negotiating with some Central Asian countries to create links for electricity import, he said.

 

[Neo]

Friday May 26, 03:50 PM KARACHI, May 26 Asia Pulse - Gwadar, the only deep sea port outside the strategic straits of Hormuz, seems to be attracting more criticism than attention from Pakistan's trading partners. It is alleged that the port is devoid of an effective master plan and the equipments purchased do not meet the requirement of a moderncontainer terminal designed to operate as a transshipmenthub port.

Above all the marketing of this strategic port with a capacity to handle post-Panamax category vessels was not properly carried out by showing the shallower draft of its approach channel and berths, while inviting expressions of interest (EoI) and request for proposal.


As a result major international port operators did not show any interest and only five operators - Hutchison Port Holding, Hong Kong; Dubai Port World Dubai; Globe Marine Services Co., Saudi Arabia; Mansour Al Mosaid, Saudi Arabia; and Pakistan International Container Terminal, Karachi-indicated interest in Gwadar Port operations. Talking about the economic situation of the country, Aziz said that despite the pressures created as a result of the high oil prices and the losses caused by the earthquake, the country has achieved the growth target of 6 to 8 per cent, inflation is settling down and the overall inflation during the fiscal year 2005-06 remained less than 8 per cent. Foreign Direct Investment is expected to be about three billon dollars which is highest in the history of the country, the prime minister added.

 

[Neo]

BY ISAAC JOHN (Chief Business Reporter)

2 June 2006


DUBAI — DP World, a subsidiary of Dubai World, is likely to win the bid to take over the management of Pakistan's Gwadar Port, following the exit of Hutchison Port Holdings of Hong Kong from the race.
Following the unveiling of Dubai World's $10 billion investment plan, officials from both sides are reported to have made good progress in finalising the agreement to give DP World operational management of the deep-sea port built with Chinese assistance.
Commodore Munir Wahid, project director of the Gwadar Port Implementation Authority however declined to say how much DP World might pay for the deal which is expected to reinforce the Dubai-based company's position as the world's third-largest container port operator,
Apart from Hutchison Port Holdings, other bidders for the project include PSA International of Singapore, Globe Marine Services of Saudi Arabia and Pakistan International Container Terminal.
The Dubai operator has also bid for the port's $865 million phase-II that will add nine more berths, an approach channel and storage terminals. It will have three container terminals with a quay length of two km.
DP World was among five companies that had expressed interest in operating the first phase of the port, which was completed with a Chinese loan in April last year.
The total cost of the Gwadar project is estimated at $1.6 billion, of which, China has contributed about $198 million for the first phase. Pakistan has contributed $50 million to finance the first phase. China invested another $200 million to build a highway connecting the port with Karachi.
According to sources close to the deal, terms of reference prepared by DP World include major conditions that deal with the corporate structure and matters related to operation, tariffs, and financial powers as well as development of infrastructure, including nine new berths on the east bay of the port. With regard to development of new berths, the operator seeks first-right of refusal. Under this demand, a prior approval would be sought from the DP World in case Pakistan leases or develops new jetties. DP World has sought 30 years lease for the site and the port which could be renewable for two more terms of 10 years for which the option will lie with the operator.
Pakistani sources said DP World has sought full powers over shareholding of the port company to be held by them or any other strategic investor chosen by them.
It has further laid down a condition where management control will be fully with DP World and the government will have no control over the management and policies of the port.
It is learnt that DP World is seeking full control over development, finance, design, building, management and operations of those nine jetties to be built under phase II and have the right to cap the capacity utilisation.
It also seeks the right of levying and collection of port tariffs and demanded that tariffs would not be higher than Karachi Port and the Port Qasim.
Pakistan sources said DP World is a favourite contender for the Gwadar port because its integrated port management model brings together container terminals, other cargoes, free zones, infrastructure developments and consultancy services.
According to shipping industry experts, the Gwadar Port could be used as corridor for energy supply to China. It will serve as an energy corridor for Pakistan, China and India.
http://www.khaleejtimes.com/DisplayArticleNew.asp?xfile=data/business/2006/June/business_June51.xml&section=business

 

[Neo]

Friday, May 05, 2006javascript:; http://www.dailytimes.com.pk/print.asp?page=2006\05\05\story_5-5-2006_pg5_14

ISLAMABAD: UAE-based Dubai World (DW) is planning to invest in various sectors in Pakistan and the Dubai Ports World (DP World), a subsidiary of the DW, and it is keen to get the contract for Gwadar Port management and operations, said Sultan Ahmed bin Sulayem, Chairman of the DW, here on Thursday.

At a press conference, with Minister of State for Privatization and Investment Omar Ahmad Ghumman and Deputy Chairman of the Planning Commission Dr Akram Sheikh and members of his delegation, he said the DW had handed over an umbrella memorandum of understanding to the Pakistan government in which the company has chalked out its plan to invest in infrastructure sector, real estate development, commercial and construction of tourist resorts in Pakistan.

“Yes, we are negotiating with Pakistan on the contract for Gwadar Port operations and management. But there is nothing final so far,” said Mohammad Sharaf, CEO, Dubai Ports, which was recently denied a deal of taking over as operating agency of six US ports in the wake of stiff resistance from the US Congress. Mr Sharaf also played down the impression that his company had started negotiations with Pakistan on Gwadar Port after its failure to take charge of the US ports.

The seven-member UAE delegation also held a detailed meeting with President General Pervez Musharraf.

Sultan Ahmed said had very useful meeting with President General Musharraf. We have discussed various proposals, including the prospects of investing in Gwadar Port. The DP World negotiations with Pakistan on Gwadar is believed to have perturbed the Chinese government, which has invested in the development of Gwadar. Omar Ghumman said Gwadar Port must not be seen as mere port like Karachi Port and Port Qasim. The Gwadar Port will be used as corridor for energy supply to China. It will be an energy corridor for Pakistan, China and India. Apart from this, the new port will be a trade and industrial and oil transportation corridor. Landlocked Afghanistan and Central Asian Republics will get great benefit from Gwadar.

Mr Ghumman said a number of US companies had expressed desire to invest in Gwadar.

Replying to a question, Mr Sultan said the delegation’s present visit is actually a fact-finding mission. But it happened to be an eye-opener. “We are not here for talks on Gwadar specifically,” he said, adding that the Dubai World is expanding its investments for continued growth. He said the Gwadar Port had a bright prospect for investment. We are keen to invest. However, we are looking at the government’s plan for the development of Gwadar. If the government does not take care of development of the new port, then no investor will be coming to invest, he said.

Mr Ghumman said the Nakheel Group of Companies, a subsidiary of the DW, a leading name in the the construction industry, was planning to invest in the development of real estate, construction of houses and five new cities between Islamabad and Lahore and Lahore and Karachi. The government is also interested in build five cities from Gwadar up to the Chinese border. Besides, there are plans to build new highways and tourist resorts up to the Chinese border.
http://www.dailytimes.com.pk/default.asp?page=2006%5C05%5C05%5Cstory_5-5-2006_pg5_14

 

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Friday, June 09, 2006javascript:; http://www.dailytimes.com.pk/print.asp?page=2006\06\09\story_9-6-2006_pg5_6

By Fida Hussain

ISLAMABAD: The ministry of defence is facing several objections on the overall price of land to be acquired for a new international airport in Gwadar as the proposed price is more than 180 percent higher than the amount paid by the Pakistan Railways (PR) for land acquisition in the same area in the recent past, a senior government official told the Daily Times on Thursday.

The ministry of defence has proposed that price of land should stand at over Rs 155,000 per acre for the new airport in Gwadar. The proposed cost is more than 180 percent over the land acquisition cost of Rs 55,000 per acre paid in the recent past by the PR.

The Gwadar airport has been proposed to be built in an area of 6,600 acres about 26 kilometers in the northeast of Gwadar city. The governement anticipates Gwadar to become a regional economic hub and in preparation for this has issued a directive for the development of the new Gwadar international airport. The airport will be given international status and it is expected to operate under the open skies policy. In the meantime, there are plans to improve facilities at the existing airport to facilitate the movement of wide-bodied aircraft, the official said.

The ministry of finance, the Planning and Development Division (P&D) and other authorities concerned have raised objections over the increased cost proposed for land, which is to be acquired for the new international airport. The authorities concerned have objected to the proposed price of land and said that this issue must be looked into separately from the overall project, which has been approved by the P&D in principle. The ministry of defence defended the proposed price and said that it had been calculated by the Military Land Cantonments Department and it is according to land value, which is in practice in the area. The nature of the project was such that the P&D had granted approval to the overall project, but the cost of the scheme could be revised after the report of the special committee, constituted by the Central Development Working Party (CDWP).

The committee, which includes officials from the ministry of finance, ministry of defence and government of Balochistan, will present its report on the issue to the P&D before the next meeting of the CDWP, which is to meet some time this month.

The official said that the ministry of finance and the P&D have agreed on almost all the criteria of the project implementation. However, the ministries are only looking into the land price issue separately due to recent land acquisition by the PR in the same locality. The land acquired by the PR is part of the government's overall strategy to connect Gwadar with the rest of the country and the world through rail, land and air routes as Pakistan sees the underconstruction Gwadar Port to be great hub of economic of activity of the region. Pakistan wants to provide facilities of international standards in and around Gwadar so that foreign traders and investors could get hassle-free access to and from the commercial hub of the country, the official said.

 

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Friday, June 09, 2006javascript:; http://www.dailytimes.com.pk/print.asp?page=2006\06\09\story_9-6-2006_pg12_7

KARACHI: Private airline Airblue has joined hands with Jahangir Siddiqui (JS) Air to start a commuter service between Karachi and Gwadar from June 17.

Chief Operating Officer of Airblue Shahid Khaqan Abbasi and JS Air Chairman Commodore (retired) Munawwar Alam Siddiqui announced this at a press conference Thursday. Abbasi said that they are cooperating for low-cost operation on socio-economic routes such as Gwadar, Nawabshah and Sukkur.

"JS Air will operate their planes for Airblue on secondary routes. The ticketing will be done by Airblue," he said. The fare for Gwadar will be Rs 3,000 for one side with a chance of concession if purchased in advance.

He said that initially two American 19-seater aeroplanes Beach 1900 would be used for a daily flight between Karachi and Gwadar. "This frequency will be increased after we acquire more aircraft by August. We can take this flight to Muscat later on," he added. He said that they could also operate flights for the northern areas.