Pakistan seeks Iran's help for power supply to Gwadar port
Dated: 12/01/2005
Pakistan has approached Iran for supply of electricity and gas to the Gwadar seaport in Balochistan, according to sources.

Official sources said that the government has decided to urgently overcome electricity and gas deficiency in Gwadar by discussing the issue with the government of Iran.

Iran has tentatively agreed to meet the energy requirements of Balochistan province. However, sources said, the Iranian

government was being asked to help meet necessary electricity and gas requirements of District Gwadar which included settlements of Gwadar, Pasni, Ormara and Jiwani.

The Gwadar port authorities, sources said, has asked the federal government to manage gas and electricity requirements especially for the proposed hotels, restaurants, gas stations, and other development activities in the area.

Sources said while the construction of coastal highway has boosted up the life of the people of Gwadar, infrastructure facilities to the investors were vital for the development of the new port city in Balochistan province.

Since the development of next phase of Gwadar port has been offered to the private sector/international investors on Built Operate and Ownership (BOO) and Built Operate and Transfer (BOT) basis, sources said, energy requirements of the area needed to be appropriately met.

The government was also requested by the port authorities to help improve the standard of living of the people of the area by providing basic necessities.

The health facility lacks equipment to deal with serious cases of illness to the Gwadar population, which is around 80,000, majority of whom are fishermen.

The literacy rate in the area is extremely low being less than 20 per cent for male and less than 7 per cent for females. One of the long term programmes to bring the development of Balochistan province at part with other provinces is the development of Gwadar port with the technical and financial assistance of the Chinese government.

Under the programme, sources said, many industries have been envisaged to be established in the province in general and around Gwadar in particular for which skilled manpower would be needed for the operation of the port and the allied industries.

In this behalf, sources said, that the ministry of education has decided to establish Gwadar Institute of Technology in line with the government policy to effectively develop Gwadar port under the 9th five year plan.



Pak ministry for liberalising trade with India
Dated: 11/18/2005
Pakistan 's ministry of industry and production has strongly advocated liberalising trade with India, saying the country should "at once" move to trade based on Most Favoured Nation status (MFN) before the South Asian Free Trade Agreement (SAFMA) comes into force.

Liberalising trade with India has significant potential for Pakistan in terms of lower prices for consumers, the ministry said in a draft report entitled 'Towards a prosperous Pakistan: A Strategy for Rapid Industrial Growth.' It said that before the SAFTA agreement comes into force, " Pakistan should, at once, move to MFN-based trade with India," the Daily Times newspaper reported today.

"There will be more revenue for Pakistan from being able to tax the existing illegal trade. Besides, this the bilateral trade will result in greater market access and lower production cost," the report said.

Pakistan's industrial sector would be able to get cheap import of several raw materials, the report said, adding competitiveness of Pakistan's industrial products will increase through the liberalised trade with India.

The report asked the government to negotiate strategic partnership with renowned Indian firms for mutual benefits.

It also called for expanding trade with the Central Asian Republics (CARs) through seaports of Karachi and mentioned Gwadar Port as a potential avenue for growth.

Noting that trade with CARs is hampered by cumbersome transit procedure, delayed transit time and poor quality of transport infrastructure, the report said there is urgent need to streamline and harmonise customs procedures and trucking protocols for realisng the growth prospects from increased volume of trade with CARs.





Romanian Companies Eye Building Refineries In Pakistan
Dated: 10/04/2005
Asia Pulse - Private Romanian companies are interested in setting up refineries in Gwadar besides looking for other opportunities to initiate joint ventures.

This was stated by Ionel Mantog, leader of a 14-member Romanian state delegation here on October 2.

A representative from the refinery sector showed interest and was studying options after visiting Balochistan a day earlier.

Earlier, addressing the members of the Karachi Chamber of Commerce & Industry, he said the delegation included representatives from coal, oil and gas, cement, textile and light engineering sectors, who were interested to see the opportunities and possibilities of joint ventures as well as trade relations.



Oil refineries to be set up in Gwadar, says president
Dated: 09/29/2005
President Gen Pervez Musharraf said on Thursday that the government would set up oil refineries in Gwadar to help make it a regional trade hub and provide cost-effective fuel for sustaining the country's economic growth.

The president told a gathering of senior civil servants that his government was striving to develop gas, coal, water and alternative energy sources as part of its strategy to minimize the country's dependence on imported oil.

“We have strategized our energy requirements for the next 15 years as this will be the lifeline for a vibrant economy,” he told the participants of the management course at the National School of Public Policy. Pakistan has reduced its dependence on oil for power generation from 70 to 59 per cent through greater use of gas and it intends to bring the share down to 30 per cent in the near future for provision of inexpensive electricity



Strategy devised to attract investors from ASEAN , ME
Dated: 09/23/2005
The government has devised a strategy to attract more investors from the Middle East and the South East Asia and decided to hold a series of conferences in the regions to meet the FDI target of $3 billion for 2005-06, a senior government official told Daily Times.

After being directed by the president and the prime minister, the Ministry of Privatisation and Investment has decided to concentrate more on Pakistan 's investment potential in the two regions, the official said.

However, he clarified that the policy looking towards the ME and the Association of South East Asian Nations (ASEAN) does not mean that investment authorities will discourage investors coming from other destinations. “We will be encouraging each and every investor coming to invest in Pakistan ,” he added.

“The government considers that the number of potential investors in the Middle East and ASEAN regions is much bigger,” the official said. These are the regions where we would be marketing Pakistan 's potential for investment, the official said.

In the first instance, the Board of Investment (BoI) will be holding an “Investors Conference” on October 2 at Saudi Arabian port city, Jeddah. The conference will be the first being held in a foreign country this fiscal for which the target of foreign direct investment (FDI) has been set at over $ 3 billion compared to that of $ 1.5 billion achieved in 2004-05.

Another conference on the overall economic situation in Pakistan is being held in Malaysia on October 2, which will be attended by Prime Minister Shaukat Aziz. Other officials of the ministry of finance, economic affairs division, and the ministry of privatization and investment will attend the meeting.

The Jeddah Chamber of Commerce and Industry and the Pakistan Consulate in Jeddah will organize a “Pakistan Specific Week” from 1 October. The chairman of the Board of Investment, Waseem Haqqie, will preside over the conference. Senior officials from the Small Medium Enterprises Authority (SMEDA), the Gwadar Port Implementation Authority, the Private Power and Infrastructure Board (PPIB), the ministries of tourism, petroleum and natural resources will also present their papers in the conference. The purpose of the conference is to highlight the potential of investments in various sectors including water, power, communication, industries, agriculture, tourism, oil and gas. The conference will provide an opportunity for networking between the prospective investors and their counterparts and facilitating organizations in Pakistan , according to the official.

Pakistan has been ranked top among the South Asian countries and 12th among the world countries to have reformed its economy in a recent World Bank report. Since the president and the prime minister advocate Pakistan 's case for investment in their foreign tours, it is expected that it will bring more investment from foreign and overseas Pakistanis back home, he said.

The investment policies are the best ones as compared to the policies of other South Asian countries. There are a lot of queries coming in from investors of the Middle East and the South East Asia . Keeping this in view, the government has decided to hold next month conferences primarily focused on investment opportunities in Pakistan .



New world-class airport announced: Shaukat visits Gwadar
Dated: 09/18/2005
GWADAR (September 18 2005): The government has decided to construct a new international airport at Gwadar with state-of-the-art facility having world-class standard. This was announced by Prime Minister Shaukat Aziz who was speaking at the foundation stone laying ceremony of Gwadar Industrial Estate on Saturday.

He said that till the completion of the new international airport the existing airport is being upgraded, and necessary facilities were being provided so that there could be frequent communication between Karachi and Gwadar.

Shaukat Aziz said that the Gwadar will not only be an industrial hub, but also attract tourist since it has got great potential for tourism.

He said that this is a historic day and pointed out that six years ago when President General Pervez Musharraf took over power he saw a dream of making a world class port in Gwadar and added that today we are seeing this dream becoming a reality.

He said that the President took up the matter of building of Gwadar port with Prime Minister of China who readily agreed to the proposal, so this port is a gift of China . The Prime Minister said that the seaports change the destiny of regions and countries.

He pointed out that six years ago, the President promised roads for Gwadar and that promise has been fulfilled with the construction of Coastal Highway which goes up to north and shall be a crucial link for Afghanistan and Central Asia .

Shaukat Aziz said, "We have to open our minds and allow foreign investors to come up with their investment which will usher in an era of prosperity and help create employment opportunities."

The Prime Minister said that in case the local skilled labour was not available we should welcome with open heart skilled people from other regions for development, progress and prosperity of Gwadar, which is not only in the interest of the-people of Gwadar and Balochistan, but also in the interest of Pakistan.

Shaukat Aziz announced that the federal government will establish Export Processing Zone in Gwadar on fast-track basis and will extend Coastal Highway up to Iran to promote trade and commerce with it.

In this connection, the Prime Minister said that import of gas from Iran will transform Balochistan and a decision on gas pipeline project with Iran after consideration of all aspects will be made in the national interest.

He said that local bodies' elections have demonstrated that people have rejected anti-development and negative forces.

Shaukat Aziz announced Rs 10 million for water supply to Gwadar and in response to demand of Balochistan chief minister Jam Mohammed Yousuf for desalination plant, he said that the government will bear half of the cost of desalination plant which will be grant of federal government.

Earlier, in his welcome address Jam Mohammed Yousuf said that Prime Minister Shaukat Aziz's contribution towards development of Gwadar and construction of port here are laudable and commendable.

He said that it seemed like a dream but Shaukat Aziz has made it a reality.

On the occasion, Balochistan governor Owais Ghani, federal ministers Zobaida Jalal and Naseer Mengal were also present.

Meanwhile, groundbreaking ceremony of Gwadar Port Civic Centre was also held on Saturday.

In his speech at the ceremony the Prime Minister said that the federal government was spending a record Rs 134 billion on mega projects for development in Balochistan.

"This has never happened in the history of Balochistan that such mega projects were ever carried out at one time," Shaukat Aziz noted, amid applause.

Balochistan Governor Owais Ahmed Ghani, Chief Minister Jam Mohammad Yousuf, Minister for Port and Shipping Babar Khan Ghauri, Minister for Social Welfare and Special Education Zobaida Jalal and Minister for Petroleum Naseer Mengal were also present on the occasion.

He said that this year Rs 21 billion had been allocated under annual development programme for Balochistan, which was about 10.5 percent of total outlay. "This is more than the share of Balochistan, in terms of population ratio to other provinces," he added.

Shaukat Aziz directed the Gwadar Port Authority (GPA) to complete construction of Civic Centre within 18 months and undertake construction work on its own and not on built, operate and transfer (BOT) basis.

He said that minister of ports and shipping Babar Khan Ghauri was a man of action and he would ensure that work is completed in the stipulated time.

He said that this is a costly project and will be a model Civic Centre in the country, having offices, bank branches, utility store and residential blocks.

He announced the establishment of USC store in Gwadar, saying that it would be operational before the start of Ramazan.

He said that 500 out of 1000 houses would be given to fishermen at the housing scheme in Sur Bandar area.

Shaukat said he wants to take Pakistan on the road of development and prosperity and added that never in the history of Pakistan such development schemes were carried out by any government.

He said that people have been witnessing progress on these projects and therefore they would reject pessimistic elements.

The Prime Minister said that Gwadar Port would generate economic activity in the area and road network would connect it with Afghanistan , Iran and Central Asia as the most important route in the region for transportation.

The Prime Minister said that the federal government would spend all money on development projects as the government has decided to federalise the schemes for rapid progress on these projects.

He said the second phase of Gwadar Port would start after completion of Phase-I. The GPA has been asked to make this port operational and market its facilities.

Shaukat advised the people of Balochistan to welcome investment in Gwadar. "The world has changed and this is the era of globalisation and you must welcome investors in Gwadar," he added.

The Prime Minister said that investment would open avenues for further development and generate job opportunities in Gwadar.

He said the government was working on a project to attract tourists to Gwadar. He said: "Hotels are coming up very fast, and I am happy to see new hotels in Gwadar, especially Pearl Continental Hotel."

He said that first flight of new ATR aircraft of PIA, replacing Fokkers, would land at Gwadar airport. "I have asked PIA to use this new aircraft on Karachi-Gwadar route," he added amid applause.

Addressing Senator Ismail Buledi, the Prime Minister in a lighter mood said that opposition "also supports our good work". He said the opposition should make positive criticism and also suggest remedies to help the government in the redressal of the problems.

He said that government wanted to set up a mega refinery at Gwadar to refine crude and supply in the region. It would be a mega project and would take time. But the thinking on this project should start now, he noted.

He said that Balochistan government should further improve its governance and bring in more transparency in the working. The Prime minister noted that Balochistan has vast potential for development in agriculture, energy, livestock, mining, fisheries sectors and the government would explore all potential. "These sectors will generate employment opportunities."

Gwadar port to help boost economy: Aziz
Dated: 09/17/2005
Prime Minister Shaukat Aziz said on Saturday that the federal government was spending a record Rs134 billion for development of Balochistan. “This has never happened before in the history of Balochistan,” the prime minister said while speaking at the ground-breaking ceremony of the Gwadar Port Civic Centre.

He said that Rs21 billion had been allocated for the province under the current year's annual development programme, which is about 10.5 per cent of the total outlay. He pointed out that the allocation was more than the share of Balochistan in terms of the population ratio to other provinces.

He said the coastal highway had been completed and added that mega-projects had brought about a change in the lifestyle of the people of Gwadar during the past four years.

Anybody spreading negative propaganda would be defeated in his attempts as people wanted to see development and a better life rather than hollow slogans, he said.

Mr Aziz said the government wanted to convert Gwadar into a modern city equipped with all facilities and resorts to attract tourists.

He said the Gwadar port would generate economic activity in the area, adding that a road network would connect the town with Afghanistan , Iran and Central Asia as the most important route in the region for transportation.

He said a modern airport would be built at Gwadar and the existing one would be renovated. He said the first flight of Pakistan International Airlines' new ATR aircraft, replacing Fokkers, would land at the Gwadar airport. “I have asked PIA to use this new aircraft on the Karachi-Gwadar route,” he announced amid applause.

The Gwadar Port Authority (GPA) has been asked to make this port operational, he said.

He advised the people of Balochistan to welcome investment in Gwadar. “The world has changed. This is the era of globalization and you must welcome investors in Gwadar.”

Citing example of Dubai, the prime minister said investors could freely set up a factory or buy property there and Gwadar should also open up for such investment. “Whoever talks against this approach is not a friend of the people of Gwadar and Pakistan .”

He said the government was also working on a project to attract tourists to Gwadar. He said hotels were coming up very fast in Gwadar.

Addressing opposition Senator Ismail Buledi on the occasion, the prime minister said in a lighter vein that opposition also supported the government's good work. He said that opposition should make positive criticism and help the government in redressal of problems.

He said the government wanted to set up an oil refinery at Gwadar aimed at contributing to supplies in the region.

He asked the Balochistan government to improve its performance and ‘bring in more transparency in its working'.

He directed the GPA to complete construction of civic centre within 18 months. He said the GPA would carry out the construction work on its own and would not get it done on the BOT (built, operate and transfer) basis.

The prime minister announced the establishment a utility store in Gwadar and said it would start functioning before the advent of Ramazan.

He said that 500 out of 1,000 houses would be given to fishermen in the housing scheme at the Sur Bandar area.

Balochistan Governor Owais Ahmed Ghani, Chief Minister Jam Mohammad Yousuf, Port and Shipping Minister Babar Khan Ghauri and Social Welfare and Special Education Minister Zubaida Jalal were present.


PM seeks Gwadar projects' details
Dated: 08/25/2005
Prime Minister Shaukat Aziz on Wednesday ordered complete details of all developmental projects and boards for the Gwadar Port Project, and demanded a comprehensive briefing from the Ministry of Shipping and Ports, sources said.

The projects on which the prime minister demanded an update include the Gwadar Port Authority Board, implementation of a free trade zone, an industrial zone, an airport and various communication systems.

Speaking to the Pakistani High Commissioner to the United Kingdom (UK) Dr Maleeha Lodhi earlier in the day, the prime minister said both Pakistan and UK were committed to global peace, sources reported.The prime minister called Islam a peaceful religion which did not permit terrorism and extremism. He said that Pakistan was part of a global effort for a safer and harmonious world. He directed the high commissioner to maintain close liaison with the community and help resolve their problems, sources said. He expressed confidence that the Pakistani community in Britain would continue to play its role in promoting inter-faith harmony, and will strive to project the noble virtues of Islam in their true spirit.

The prime minster said that the vibrant Pakistani community in the UK was playing a positive role in its socio-economic development.

Also on Wednesday, a delegation of tribal representatives led by the Minister for Sports and Culture Muhammad Ajmal Khan, called on the prime minister at his residence and discussed matters pertaining to the tribal areas with him, sources said.

Talking to the delegation, the prime minister said that peace and normalcy had largely been restored in the tribal areas, and law-enforcement agencies were actively working to address minor issues that remained. He praised the people of the tribal areas for their patriotism and support to the country in times of need. The prime minister said that madrassas had an important role to play in promoting education in the country. The government only wanted to register them so that their function was streamlined and they could impart religious as well as temporal education to their students, he said. This would enable them to play a vital role in the development of the country. In case any religious school violated the law, the prime minister said, the law would take its course.

The prime minister also announced allocation of special funds for the development of tribal areas. While talking to Hujjatul Islam Syed Jaffar Al Hakeem, a renowned religious leader of Iraq associated with the Najaf Group, the prime minister said that Iraq had great potential, as it was one of few countries that was blessed with resources including oil, gas and water. He promised all possible assistance in the reconstruction of Iraq . Al Hakeem praised Pakistan 's progress in technology, science and economy, adding that it enjoyed an important place in the Muslim world.






Karachi-Mumbai ferry service licence given
Daily Times9/16/2005 1:01:00 AM

ISLAMABAD : Federal Minister for Shipping and Ports Babar Khan Ghauri announced on Thursday that Land Ocean Ferry Service had been issued a licence to operate a Karachi-Mumbai ferry service.

There is no hazard on Pakistan 's part for signing a shipping protocol with India , he told a private TV channel. “The Pakistani government wants to enhance existing sea contacts with India to provide more commuting facilities for the public,” said the minister.

Ghauri also underlined the need to initiate a formal sea service with Middle East and other neighbour countries. He said that several companies had shown their interest including the Land Ocean Ferry Service. The company has already got a licence to operate ferry services between Karachi , Gwadar, Muscat and Dubai .

The Land Ocean Ferry Service pledged to make preparations to start the service soon after the protocol was signed. “The ferry service between Karachi and Mumbai will be launched within fifteen days of signing of protocol,” said a company spokesman.

The minister said that the trade sectary had discussed the shipping protocol with India during a visit last month. “There were positive signs from both sides regarding the shipping protocol,” he said.

Ghauri was optimistic about the shipping protocol and said that he was hoping that the protocol would be signed during his upcoming visit to India next month. He said that Prime Minister Shaukat Aziz had been informed about the protocol and the delay was from the Pakistani side. online.






Refineries at Gwadar must: president
KARACHI , Aug 26:
President Pervez Musharraf said on Friday that Pakistan must establish oil refineries at Gwadar to refine oil of Gulf countries for international market. "If we can develop large oil terminal and set up oil refineries at the Gwadar port located at the mouth of the Gulf. We can refine crude coming from the Gulf and going out to the world market," President Musharraf noted while speaking at the inauguration of $480 million 817km white oil pipeline from the Port Qasim to Mahmood Kot, built by Pak-Arab Pipeline Company (Papco).

Sindh Governor Dr Ishratul Ibad Khan, Chief Minister Dr Arbab Ghulam Rahim, Petroleum and Natural Resources Minister Amanullah Khan Jadoon, the minister of state for petroleum, SBP Governor Dr Ishrat Husain, the Sindh chief secretary, Chinese Ambassador Zhang Chunxiang and other high officials were also present on the occasion.
President Musharraf said that world oil prices were rising because of lack of refining capacity and not because of production shortage. "There is a big gap between demand and supply of refined oil. Therefore, I think, Pakistan must go very strongly towards establishing oil refineries," he noted. It would also serve the strategic interests of the country, he observed.
He said the Gwadar port had been completed and it would be commissioned in June 2006. "The port is ready but we are dredging it to 15 metres depth for accommodating larger vessels. It is an ideal situation for Pakistan.

A similar pipeline can be laid from Gwadar to the upcountry to transport oil products as a feasible proposition," he observed. He said the government would complete all the initiated projects. Referring to Papco, he said that he was associated with this project since its inception when Pakistan signed a memorandum of understanding (MoU) with former Chinese premier Zhu Rongi (in 2002).

President Musharraf said dozens of mega projects were on track. Some of them have been completed and others will be completed within the coming year.

The president lauded the efforts of Parco, Shell Pakistan, PSO and Caltex for this joint venture of great importance and strategic significance to Pakistan , saying it will give a great boost to the economy of the country. "It is the most secure means of transporting oil products to the upcountry which consumes 60 per cent of petroleum products," he said.

He said this pipeline would go a long way in catering to the needs of Afghanistan and Central Asian republics in an environment-friendly manner. He also complimented China Petroleum Engineering and Construction Corporation and Techno Engineering Pakistan for early completion of the project.

President Musharraf pointed out that it would replace the transportation of oil products by tankers which had been crowding the area in Keamari. He said the government wanted to accelerate the process of exploration in offshore and onshore areas. "We also want to accelerate the process of distribution of gas and oil to all areas of Pakistan.

We will take gas to all parts of Pakistan ," the president promised. He said the government was (currently) evaluating a proposal to install CNG or LNG gas tanks outside those towns which are located in far-flung areas of the country and lay a distribution system within these towns to provide gas to the locals through pipelines at half the price of cylinder.

President Musharraf said he had given the deadline of January 1, 2006 for this project to the authorities concerned and hoped that they would not violate the time frame. He said the government, in its efforts to reduce dependence on oil for energy production, had slashed the ratio from current 70 per cent to 59 per cent and wanted to further decrease.

Earlier, the petroleum and natural resources minister said the pipeline would be sufficient to meet the oil product demand for the next 35 to 40 years.-APP





Additional $50m for Gwadar port project
ISLAMABAD , Aug 22:
The federal government has provided an additional amount of $50 million to the ministry of communications to complete the first phase of the Gwadar deep-sea port project by June 2006.

Official sources told Dawn on Monday that the additional funding has been provided for installation of necessary equipment and completion of civil work and roads linking the port with Quetta and other areas. The sources said that the government had decided 'not' to allow any work on the second phase of the project till the completion of the first phase, which was originally scheduled to be competed by April this year at a cost of $248 million.

The Chinese side working on the project has completed its work while the local authorities have completed the development of infrastructure, including the road from Gwadar to Karachi . "The port will now be operational by June 2006," the sources said. They said work on the second phase would be undertaken hopefully in July at a cost of $865 million. It would be completed by 2010.

The second phase to be executed by the private sector will enable the port to accommodate 50,000 DWT container ships, 100,000 DWT dry bulk carriers and up to 200,000 DWT oil tankers. It will have three container terminals, one bulk cargo terminal, one grain handling terminal, one twin-pier oil terminal, breakwater, approach channel, back-up areas, craft and equipment and buildings.

The first phase, being built by the public sector with the Chinese assistance, includes three multipurpose berths, one service berth, 4.35 km navigable channel, roads, plinths and transit shed, operational craft and equipment and shore-based port buildings and allied facilities. The sources said that completion of phase-2 would help meet strategic needs and provide standby facility to Port Qasim and Karachi port in case of emergencies.

"If the private sector does not respond favourably, public sector financing will be required to develop phase-2 of the port," the sources said. Officials said that Gwadar would have an edge over Port Salalah of Oman and Iran 's Port Chah Bahar even after its proposed up gradation.

Gwadar is expected to serve as the mother port at the strategic location opposite the Straits of Hormuz and on the mouth of Gulf and provide port, warehousing, trans-shipment and industrial facilities for trade with over 20 countries including the Gulf states, Central Asian Republics, Iran, East Africa, countries along the Red Sea and north-western parts of the People's Republic of China and India.

With the completion of both the phases, a special industrial development zone over an area of 4,000 hectares is proposed to be set up. An export processing zone has also been planned for assembling plants and other industries which are to be set up by prospective manufacturers of products to be marketed in the Gulf and Central Asian Republics .





WB offers financial assistance to connect Gwadar Port with main railway network of Pakistan
ISLAMABAD : The World Bank offers financial assistance to Pakistan to connect Gwadar Port with the existing rail link of the country, a government official told Online here on Sunday.

In this regard, World Bank team and the ministry of railways met here on Saturday and discussed the corporation between the World Bank the government of Pakistan to run Railways on modern lines. The official said that the World Bank has shown keen interest in development of railway sector and offered its services to turn Pakistan Railways into State Corporation. He said that Pakistan Railways had already planned to connect Gwadar Port with the existing rail link at Ahmedwall on Quetta Taftan Section.

Pakistan Railways had already started work to conduct feasibility study for cost, Engineering and design for construction of rail link from Gwadar to existing rail network at Dalbadin/Noshki, He said that the Gwadar Sea Port was under construction and expected to be completed by end 2005.

He hoped that the new links to that port would open up underdeveloped areas of Balochistan for development. The government is also working to establish rail link with Afghanistan and by laying that rail track, Pakistan is likely to become the most accessible international trade route to Central Asia, Iran and China , he said. The rail link from Pakistan to Central Asia through Afghanistan will provide comparatively less expensive access to the Central Asian states markets, he said.

He said that these republics along with Afghanistan have inherited a situation of being land-locked. Without international trade they cannot achieve development so by force of circumstance they have to find route to warm waters, which can be provided by Pakistan.

The entire area, he said, has just opened up and offers immense opportunities in the field of defence, technology and bilateral trade. -Online.





Leading operators interested in Gwadar port
KARACHI, Aug 1:
A number of leading international port operators, including Dubai Port International, Global Marine Service Company, Pakistan International Container Terminal, have shown interest in handling Gwadar port operations. The invitation for expressions of interest (EoIs) issued by the Gwadar Port Implementation Authority (GPIA) has received an encouraging response from major international port operators.

After giving its approval, the GPIA will enter into dialogues with the respective operators and prepare recommendations to be presented before the Policy Board headed by Prime Minster Shaukat Aziz. Giving details about the response received, GPIA Chairman Akbarali Pesnani said: "This type of response from the key international port operators show the level of confidence of international investors and their keenness to invest in Pakistan.

He said that for first time complete port operations would be handled by international port operators that will help develop the Gwadar port as a regional hub port. He expressed the hope that this arrangement would also ensure good governance and management at the port. The international port operators will provide a state-of-the-art technology so that well-known shipping lines call at the Gwadar port and benefit from efficient service.

Mr. Pesnani said the commissioning of the Gwadar port would open job opportunities to locals. "And an efficient running of the port will also contribute significantly to the economic development of the country," he added.

The Gwadar port management is also in the process of hiring consultants who will prepare a master plan for future expansion of the port. The port operators are expected to work closely with the consultants to devise future development plans keeping in view the regional growth and future needs of the area.

The management is also singing a contract with China Harbour for deepening of channel for which work has already started. The targeted depth of the channel is 14.5 meters, highest in any Pakistani port so far. This deepening of channel will allow mother ships to come to the Gwadar port. The arrivals of mother ships will further justify and enhance the potential of the Gwadar port of becoming a regional hub port.

Besides, a road network is also being developed that links Gwadar to Quetta and Punjab and beyond Afghanistan and Central Asia . Once the road network and railway lines are completed, Gwadar will also be used as a transit port for Afghanistan and Central Asian countries.





PR plans to establish new rail link from Gwadar to its network
ISLAMABAD : Pakistan Railways plans to connect Gwadar Port with the existing rail link at Ahmedwall on Quetta Taftan Section to the tune of Rs. 12 billion, it is learnt.

Sources told Online that the Pakistan Railways had already started to conduct feasibility study for cost, Engineering and design for construction of rail link from Gwadar to existing rail network at Dalbandin/Noshki. They said that the Gwadar Sea Port was under construction and expected to be completed by end 2005. They said that the new links to that port would open up underdeveloped areas of Balochistan for development.

They said that the government was also working to establish rail link with Afghanistan and by laying that rail track, Pakistan is likely to become the most accessible international trade route to Central Asia, Iran and China. The rail link from Pakistan to Central Asia through Afghanistan will provide comparatively less expensive access to the central Asian states markets, sources said.

They said that these republics along with Afghanistan have inherited a situation of being land-locked. Without international trade they cannot achieve development so by force of circumstances they have to find route to warm waters, which can be provided by Pakistan. The entire area, sources said, has just opened up and offers immense opportunities in the field of defence, technology and bilateral trade-Online.





Iran likely to supply power, gas to Gwadar
ISLAMABAD , July 15:
Pakistan has approached Iran to supply electricity and gas to the Gwadar seaport city, it is learnt. Official sources told Dawn here on Friday that the government had decided to urgently overcome electricity and gas shortage in Gwadar, was discussing the issue with the government of Iran.

Iran has tentatively agreed to meet the energy requirements of Balochistan province. However, the sources said, the Iranian government was being asked to help meet necessary electricity and gas requirements of District Gwadar, which included Gwadar, Pasni, Ormara and Jiwani.

The Gwadar port authorities, the sources said, had asked the federal government to manage gas and electricity requirements especially for the proposed hotels, restaurants, gas stations, and other development projects in the area. The sources said while the construction of coastal highway had boosted the life of the people of Gwadar, infrastructure facilities to the investors were vital for the development of the new port city in Balochistan.

Since the development of next phase of Gwadar port has been offered to the private sector/ international investors on Build Operate and Ownership (BOO) and Build Operate and Transfer (BOT) basis, the sources said, energy requirements of the area needed to be appropriately met. The government was also requested by the port authorities to help improve the standard of living of the people of the area by providing basic necessities. The health facility lacks equipment to deal with serious cases of illness to the Gwadar population which is around 80,000, majority of whom are fishermen.

The literacy rate in the area is extremely low being less than 20 per cent for male and less than 7 per cent for female. One of the long term programmes for Balochistan development is the development of Gwadar port with the technical and financial assistance of Chinese government.Under the programme, the sources said, many industries have been envisaged to be established in the province in general and around Gwadar in particular for which skilled manpower would be needed for the operation of the port and the allied industries.

In this behalf, the sources said, that the ministry of education had decided to establish Gwadar Institute of Technology in line with the government policy to effectively develop Gwadar port under the 9th five-year plan. The government would provide Rs. 200 million to set up the new institute that aimed at strengthening entrepreneurship by establishing strong linkages between the institute and the industries of Gwadar port.

Gwadar Institute of Technology would be established under the supervision of Director General, Gwadar Development Authority who would be responsible for day to day activities.

Gwadar Port Authority Bill to be Tabled in NA
Dated: 13th July, 2005
MUHAMMAD BILAL

ISLAMABAD : The government is likely to introduce a bill in the Parliament for setting up an authority to undertake development of Gwadar deep-sea port."We are bringing a new bill to establish port authority for this multi-billion-dollar project. It (authority) would be like other port authorities in the world," official sources told Business Recorder here on Tuesday.

The ministry of law and justice is vetting the draft bill and it would soon be forwarded to the federal cabinet for approval," sources said. "The government would follow the concept of landlords whereas operational contracts would be given to private sector," they added.

Official sources said Expression of Interests (EoIs) would be invited from port operators across the world by the end of this month to run the country's biggest sea facility. Recommendations of the Balochistan Parliamentary Committee are also being incorporated in the draft bill. It would be ensured that the local people should benefit the most, sources said.

On the other hand, opposition lawmakers from Balochistan ruled out the notion that Gwadar mega-project is in the interest of Baloch people. They believe these projects have been initiated to facilitate the international investors only.

"We have completed all arrangements. It is almost operational but the completion of road infrastructure is still awaited," they said. The ministry of ports and shipping has requested the National Highway Authority to expedite the construction work of roads to link the port with other parts of the country.

Telecommunication links and other facilities were also being provided to facilitate potential investors.

Pakistan to offer land, infrastructure to world oil companies

ISLAMABAD : The government of Pakistan has decided to offer land and infrastructure to world class petroleum companies for setting up refineries in Karachi and Gwadar to minimise country's oil import bill. The government of Pakistan is offering land and infrastructure for setting up refineries around Karachi and Gwadar to world class refiners like Shell, Aramco, Exxon and China Petroleum, sources said.

The decision was taken by the Economic Co-ordination Committee (ECC) of the Cabinet in its meeting on July 1, held under the chairmanship of Prime Minister Shaukat Aziz, when a comparison of oil prices in Pakistan and India was presented before it. The committee, sources said, was informed that after increase in international prices of oil, the prices of petroleum products in Pakistan had registered only 17 percent increase, against 40 percent in the international market.

During discussion it was pointed out that prices of petroleum products were higher in the international market, due to higher prices of crude, now hovering around $60-61 per barrel, and to lack of refining capacity. One member observed that availability of refining capacity in the country could save about $1 billion foreign exchange annually in the oil bill, and suggested that the government should explore the possibility of offering land and infrastructure for setting up refineries.

After detailed briefing and discussion, the ECC decided that a 'blue book', highlighting the incentives and locational advantage to be offered by Pakistan may be prepared by the Board of Investment (BoI), and marketed to international investors of repute in the refining business, sources said. The foreign trade figures for 2004-05 indicate that the country's oil import bill would exceed $3.9 billion due to higher oil prices across the globe and the surge in local demand, following significant growth in the economy.

The import of crude oil increased by 23 percent, to $1.947 billion, as compared to $1.578 billion during previous year. The committee was informed that stocks of various petroleum products with oil marketing companies as on June 30 were sufficient for 28 days. Coverage was available: for 66 days in case of furnace oil; 52 days for kerosene; 20 days each for HOBC and HSD; and 15 days each for motor spirit and LDO.

However, it was noted that the stock for JP1 was for 9 days only - lowest amongst other petroleum products.

Balochistan projects bearing fruit: Musharraf
ISLAMABAD , July 5:
President General Pervez Musharraf said on Tuesday that Balochistan's mega projects, including the recently-constructed Mekran Coastal Highway and the under-construction Mirani Dam, Gwadar Deep-sea Port and Kacchi Canal were in the interest of the country and the people of Balochistan.

Presiding over a meeting at the Aiwan-e-Sadr, the president said the benefits of these projects were beginning to emerge in the form of greater employment for the people, poverty alleviation and access to modern facilities.

In addition to mega projects, the president also spoke of the assistance being given by the federal government for the improvement of watercourses, health, education and other programmes in the social sector. The governor and chief minister of Balochistan gave a detailed presentation about the various initiatives taken by the government for ensuring law and order in the province, progress on development projects and other steps in order to bring it at par with other developed areas of the country.

Pakistan Muslim League president Chaudhry Shujaat Hussain and secretary-general Mushahid Hussain Sayed briefed the participants on the working of the parliamentary committee on Balochistan.-APP

Gwadar project in second phase
The implementation of the second phase of Gwadar Port project began last month with the release of the first instalment of Rs16.3 billion. It will help undertake deepening of the port at a cost of $865 million. And China has promised to provide $50 million soft loan.

This mega project will take 8-10 years to complete. The first phase of the project was completed at a cost of $250 million in November last with the Chinese assistance in a span of nearly three-years.

Additional development costs were also envisaged for electrical supply 132 KV transmission line from Turbat to Gwadar at a cost of Rs360 million and a railway line Gwadar-Panjgoor-Dalbandin (515 km) that will cost Rs8,500 million. In first phase, 15.5 meters channel draining draft were developed and three approach channels were also constructed. The first phase included the development of navigational aids, radar plus VTM system, service jetty, pilot boats, survey boats and a maintenance workshop. After completion of the first phase, the port is able to handle 'bulk carriers' of up to 30,000 DWT and container vessels of 25,000 DWT.

The ministry of ports and shipping conveyed its administrative approval to the chairman Gwadar Port Authority to initially start the second phase at a cost of Rs16.3 billion, which includes Rs11.8 billion foreign exchange component. The port authorities had been directed to install gantry cranes at the port and that the specification of the cranes and their installation could be negotiated with the port operators.

The phase-II would be executed by private sector to accommodate 50,000 DWT container ships, 100,000 DWT dry bulk carriers and up to 200,000 DWT oil tankers, three container terminals (2010m quay length), one bulk cargo terminal (305m length), one grain handling terminal (305m length), one twin pier oil terminal (688m length), breakwater (600m length), approach channel (16./20m deep), back up areas, craft and equipment and building etc.

With the beginning of the second phase, a long-term process has started to set up industrial zones in the port city along with the development of new roads for which the government had earmarked thousands of acres of land.

The government is reportedly offering concessions to foreign investors for the development of second phase of the port project. It has decided to allow China and South Korea to set up their tax-free special industrial development zones (SIDZs). Official sources say a number of countries including those of the region, had expressed willingness to establish duty-free industrial zones in Gwadar. These include China, Japan, Singapore.

Prime Minister Shaukat Aziz has already agreed to creation of new industrial parks at Gwadar and Karachi. The parks would be completed with public private-partnership. The financial allocation for creation of new parks was also discussed. An amount of Rs 150 million had been arranged while National Bank would provide Rs5 billion in loans for the project.

The government has reportedly agreed to lease out land to UAE at Gwadar for the establishment of shipping companies and other related trade activities.

The second phase of the port project is designed to facilitate transshipment for Central Asian states, Afghanistan, Iran, China, India and many other countries. Gwadar port would provide port, warehousing, trans- shipment and industrial facilities for trade with over 20 countries, including Gulf states, Central Asian republics (CAR), Iran, East Africa, Red Sea countries and North West parts of China and India.

The potential investment areas in Gwadar include fish processing, crabs processing, cold storage, ice factories, sea-water reverse osmosis desalination plants, shrimp farming, boat building and naval architecture institute, oil storage tankers, ferry service for Karachi Ormara-Pasni-Gwadar and up to Oman and Dubai.

Investments can also be made in fisheries and aquaculture, port management projects, hotels and restaurants and resorts, date processing, canned food, gravel crush plant, water sports and recreation facilities, palm oil cultivation, marine and automobile repair workshops, cluster for Internet service providers, renewable energy, wind, solar and IPPs, clearing and forwarding agency, hospital clinics, re-rolling mills and warehouses.

An Export Processing Zone (EPZ) has also been planned for assembling plants and other industries for marketing in the region of Gulf and Central Asian republics. Oil storage yard and refinery have also been proposed in the north of Gwadar town near the East bay for which an area of 1,000 hectares has been identified. Initially, a storage tank farm will also be constructed followed by a refinery in future. There exists a huge potential to build an oil refinery at the Gwadar port on the pattern of Singapore port for facilitating trans-shipment.

The second phase of the project would be built on BOO (build-operate-own) or BOT (build- operate-transfer) basis. The second phase is expected to be completed by 2010. In the second phase, 18 additional berths will be constructed and the container work would be further expanded to an area of 141 hectares.

The completion of phase-II will help meet strategic needs and standby facility to the Port Qasim and the Karachi Port in case of emergencies arising out of any mishaps. With the completion of the second phase the congestion at Port Qasim will reduce.

Gwadar port will generate foreign exchange earning, as the vessels registered under foreign flags are required to pay some portion of charges in foreign exchange through their local agents for cargoes.

Gwadar rail-road projects under way
KARACHI, June 20:
Director General, Gwadar Development Authority (GDA), Ahmed Bakhsh Lehri has said that several infrastructure projects at Gwadar are under way, which includes 950-km-long railway and 900-km-long motorway.

The GDA had issued 30 NOCs for residential, industrial and entertainment schemes, he said adding that the provincial government had 1,000 acres of land in the area which would be developed by the private sector. Gwadar had developed the facility to receive 30 mw of electricity from Iran and another 20 mw was promised.

Talking to the FPCCI members, who met under the chairmanship of former FPCCI president, Tariq Saeed, the GDA DG urged the private sector companies to take interest in the mono-rail and desalination projects in Gwadar. He said the provincial government had an office in Karachi, which received applications for allotment of plots in the industrial estates. So far, 129 plots had been distributed and another 400 applications were being processed, says a press release of the FPCCI.

Lehri said that the land in the area mostly belongs to the private people. If the government had acquired land before the announcement of development of Gwadar Port it could have easily purchased land at Rs5,000 per acre but now the prices have shot up to Rs200 million per acre. He said the GDA issued NOC to the party that possessed land, had viable development plan, gave bank guarantee worth 30 per cent of saleable cost of plot and time limit of three years for completion of the project.

Tax-free zones in Gwadar planned: Wooing foreign investment
ISLAMABAD , June 16:
The government has decided to allow China and South Korea to set up their tax-free special industrial development zones (SIDZs) in Gwadar. The step is aimed at attracting more foreign investment in the region.

Officials told Dawn on Thursday that more concessions were being offered to foreign investors for the second phase of development of Gwadar, which includes dragging and deepening of the port. The second phase began this month.

The officials said that with the beginning of the second phase, a long-term process had started to set up industrial zones in the port city along with the development of new roads for which the government had earmarked thousands of acres of land. The second phase would facilitate trans-shipment of Central Asian states, Afghanistan, Iran, China, India and many other countries.

"A number of tax concessions and facilities had already been made available to the local and foreign investors in Gwadar, but we are considering more such concessions not only to have a harbour there but also a complete port city which would be as important as the Karachi Port," said a senior official of the ministry of finance. He said that there existed a huge potential to build an oil refinery at the Gwadar port on the pattern of Singapore port for facilitating trans-shipment.

The official said that a number of countries, including those of the region, had expressed their willingness to establish duty-free industrial zones in Gwadar. However, he confirmed that initially China and South Korea would set up their industrial zones for which more concessions could be contemplated.

The port will generate foreign exchange earning as the vessels registered under foreign flags are required to pay some portion of charges in foreign exchange through their local agents for cargoes. The amount earned will not be reflected in the Gwadar port account but will contribute to national foreign exchange earnings. In the present rate of Karachi Port Trust tariff, the foreign exchange percentage is estimated at 33 per cent of charges payable to the port authorities.

Gwadar has an edge over the Port Salalah of Oman and Iran's proposed upgradation of Port Chah Bahar. However, Gwadar will have to compete with both the foreign ports. The sources said that Gwadar was expected to serve as a 'mother port'. The port situated at the strategic location opposite to Straits of Hormuz and on the mouth of Persian Gulf would provide port, warehousing, trans-shipment and industrial facilities for trade with over 20 countries, including Gulf states, Central Asian republics (CAR), Iran, East Africa, Red Sea countries and North West parts of China and India.

The Export Processing Zone (EPZ) has also been planned for assembling plants and other industries which are to be set up by the prospective manufacturers for marketing in the region of Gulf and Central Asian republics. Oil storage yard and refinery have also been proposed in the north of Gwadar town near the East bay for which an area of 1,000 hectares has been identified. Initially, a storage tank farm will also be constructed followed by a refinery in future.

"Gwadar is going to be one of the major centres for sizable local and foreign investment in this region," another official said, adding that with improvement of law and order in Balochistan, interest of the local and foreign investors was increasing to make new investment in the province, especially in Gwadar. The government last month released the first instalment of Rs16.3 billion to help undertake deepening of the Gwadar port which would cost $865 million.

China has promised to provide $50 million soft loan for the second phase of the Gwadar port development. The second phase - Gwadar Deep Water Port Project - was expected to be completed by 2010. The sources said that the phase-II will be executed by the private sector to accommodate 50,000 dwt container ships, 100,000 dwt dry bulk carriers and up to 200,000 dwt oil tanker, three container terminals (2010m quay length), one bulk cargo terminal (305m length), one grain handling terminal (305m length), one twin-pier oil terminal (688m length), breakwater (600m length), approach channel (16.0/ 20.0m deep), back-up areas, craft and equipment and building, etc.

The phase-I was built by the public sector with the Chinese assistance at a revised cost of $298m. It included three multipurpose berths (602m quay length, one service berth (100m length), 4.35km navigable channel (11.6/12.5m deep), roads, plinths and transit shed, operational craft and equipment, including navigational aids and shore-based port buildings and allied facilities.

The sources said that the completion of phase-II will also help meet strategic needs and standby facility to the Port Qasim and the Karachi Port in case of emergencies arising out of any mishaps. The construction of phase-II will be completed on build-operate-own (BOO) and build-operate-transfer (BOT) basis.






Musharraf wants port ready by mid-2006 Dawn News Saturday June 11, 2005
RAWALPINDI , June 10:
President General Pervez Musharraf on Friday ordered simultaneous completion of the Gwadar Deep Seaport and related infrastructure facilities by June 2006 so that the country's largest development project starts contributing to the economy from the outset of its operation.

The president issued the directive at a meeting held here to review the progress of work on the project."It is imperative that an integrated approach is adopted to put in place all facilities for launching large-scale business activities at the port by June 2006. This will spur economic growth and help the country realize its geo-economic potential as a hub of regional trade," he emphasized.

He directed the authorities to ensure provision of water, electricity, housing, telecommunication facilities and road network connecting Gwadar to the main arteries of the country and onward link to trading centres of Afghanistan , Iran , China and Central Asian states. The president said that a fully-operational Gwadar port would bring an era of progress for local people as it would generate jobs and attract investment from all parts of the country and abroad.

"The enormous development will help reduce poverty as skilled, semi-skilled and professionals will get new openings and it will also bring the local people better health and education facilities at the grassroots level."

In his remarks, Prime Minister Aziz said the government was committed to making finances available for in-time completion of the project.-APP

Gwadar: The engine of change in Balochistan

GWADAR: The deep water port is ready and open for business. As it prepares to receive ships and cargo, it is already starting to have a major impact on the city and region even as some local people step up their efforts to air their grievances.

For hundreds of years, Gwadar has been a sleepy fishing village. Alexander the Great is said to have passed through here on his way back to Macedonia. Over the centuries, Gwadar saw many rulers come and go, and finally the ruler of Muscat annexed it in 1797. In 1958, Pakistan bought Gwadar from Muscat for Rs90 million and made it a part of the province of Balochistan. Gwadar is situated at the mouth of the strategic Straits of Hormuz and is 72 km west from the Iranian border. The town is flooded with Iranian goods, ranging from motorcycles to petrol to all types of food and clothing items - all at incredibly cheap prices. After all, they are smuggled. But smuggling will cease to be the mainstay of Gwadar's economy once the port becomes functional.

THE JOURNEY : A journey begins with a single step and our 700 km journey to Gwadar started at the outskirts of Karachi. A simple and freshly minted sign showed us the way.

The road to Gwadar is known as the Makran Coastal Highway and it is only four months old. For us, this road and route to Gwadar was uncharted territory. The map helped us get a basic idea about the famed town we were headed to, but the long trip ahead remained unknown. The Frontier Works Organisation, also known as FWO, built this impressive highway in four years. Before the highway opened for traffic, this region in the southern tip of Pakistan remained cut off from the rest of the country except through air.

The land journey took many days. In this sense, the new Coastal Highway has penetrated undiscovered terrain. And the terrain is stunning. Vast flat lands flank the highway for miles and miles with not a soul - or a vehicle - in sight. The harshness of this terrain is matched by its desolation and rugged beauty. As we drove on, the flat lands gave way to rocky hills. At first sight, it appeared as if giant carvings had been made on the side of these hills-symmetrical and aesthetic designs etched on rock.

But soon one realizes these are nature's work. No-one knows the origin of these designs. Was it water at some period in time that drew these carvings, or was it the effect of air and wind over thousands of years? Maybe, one day a geologist will find the answer. The road snaked up the mountain and as it turned a corner, we got our first glimpse of the Arabian sea. The water is clear and the waves gentle, as they brush the isolated shores. From this point onwards, the highway travels near the sea, at times skirting around the hills and then winding its way back near the coast. At a point, the hills merged into a desert, which rolled onto the beach. A few local people moved about and an occasional bus passed by. Other than that, there was silence.

A few miles ahead, the highway hit a T junction. This is where the official Makran Coastal Highway starts. A monument and a plaque denote the official opening of the highway. But it was only a few months after this opening that this highway suffered serious damage. The torrential rains and flooding, which wreaked havoc across the country, washed away some chunks of the highway. Some call it the work of nature, others blame faulty engineering. We hit the damaged portion an hour or so later. A bridge there is still standing, but a chunk of the road has been washed away. Trucks have made their own detour, grinding through the dusty path and clambering back on the metalled portion for their onward journey to Gwadar. Repair work is underway but I couldn't see any as I headed back to our bus. The heat was catching up.

As dusk approached we made a stopover for tea at a roadside café. The owner of this place is going to be a rich man one day. And if he has good aesthetic sense, he will retain the look of his stall. The thatched roof and the matted seating blended in perfectly with the natural surroundings, as in fact did the strong cup of tea. The stall is right beside the highway and the only one of its kind for miles and miles. It won't be surprising if a few months and years down the road, this stall can transform into a proper café, a perfect place for hungry and thirsty travelers. It was tempting to sit there longer and soak in the ambience, but daylight was fading and we still had some way to go. It had been a long day and it was unlikely that we would reach Gwadar before nightfall, which was our original plan. But the road was clear and the signs pointing to the right direction. There was of course, no street lighting...

THE PORT : The town of Gwadar is not impressive by any standards. The new port is a different story altogether. The Director General of the Gwadar Port Authority is an affable gentleman by the name of Abdul Razziq Durrani, and he offered to show us the brand new Gwadar port. Phase 1 of the port is ready. According to press reports, it was supposed to be inaugurated by the Chinese Prime Minister during his recent visit to Pakistan, but senior government officials say that was not the case. A top source told me in Islamabad that the official opening of the port is still a few months away. The port has been constructed at a cost of $248 million.

China has paid $198 million while Pakistan has contributed $50 million. China also offered expertise in the form of technical staff. Plus they have given the bulk of the equipment. Their work done, most of the 450 Chinese personnel have left for home. Director-General Durrani told me that phase 2 of the port will be constructed adjacent to Phase 1. It will be bigger. But for now, some ships have already started berthing at this port. Pakistan Petroleum, which is exploring off shore gas, is using the port loading and off-loading equipment fairly regularly.

Director General Durrani said the Gwadar port had the potential to be a major port for the region. Dredging is already underway to make it a truly deep water port. Durrani said a network of roads linking the port to Afghanistan and Central Asia was being constructed, although they were lagging somewhat. Durrani also spoke at length about how the port would generate employment for the town and the region as well as help transform the city into a vibrant metropolis. "Can you imagine a small town like Gwadar is already experiencing traffic jams," he said.

Gwadar's port holds great promise. It can earn millions of dollars for the country every year and transform this sleepy village into a vibrant international harbor. This is the stuff dreams are made of. A stream of ships and tankers berthing here, unloading their bulk cargo through these giant cranes, from where they will be trucked to distant lands. Thousands of people disembarking from these ships and spending days and weeks in this town, spending money, shopping, hotelling and transforming this town into a truly international city.

THE CITY : An international city needs international infrastructure. Gwadar, as it is today, does not exactly fulfill these requirements. It is like any other small town in Pakistan. Narrow streets and alleys dotted with cramped shops, mud-walled houses and heaps of trash. Bare foot children play outside, unaware that their environment is about to change drastically. And the man who is planning and mapping the change is Ahmad Bukhsh Lehri, the Director-General of the Gwadar Development Authority. I met him in his office, which is usually crowded with people wanting to buy and sell land and develop properties and housing schemes. Nature has made Lehri's work easier.

Gwadar has two coasts, the East Bay and West Bay. They form neat semi circles and are divided by a strip of land where the present town of Gwadar is located. East Bay is where the new port has been built. The area behind the bay will be used for all port-related activities and structures like warehouses and offices. West Bay is where all the development is in its very early stages. Today, the bay is just an isolated beach with a dilapidated road ringing part of it. But in a short period of time, this bay will be filled with hotels, restaurants, and other recreation facilities. The land behind this bay is being developed into posh housing schemes, commercial areas, broad highways and a web of flyovers.

Director-General Lehri took us on a tour of the city, to show us the works already underway. The main artery, called Jinnah Avenue, is being leveled. Lehri said this avenue would be something like Islamabad's Blue Area or Karachi I.I Chindrigar Road. It will be lined with commercial plazas, office buildings and shopping centres. As a result of this rapid development, land prices in Gwadar have skyrocketed. A horde of developers and property agents have descended on the town, and a lot of manipulation and bungling has also been reported. Officials here admit that land scams are a big concern, and they are trying their best to improve their systems of checks and balances to protect the interests of the investors.

POLITICS : There are some other people here who feel their interests are not being looked after. I went to meet one such person. Ghafoor Hote is the District President of the Balochistan National Party, Mengal group. And he represents a body of opinion, which says the local people of Gwadar are being neglected as this massive development takes place in their hometown.

Hote says he and his party are not opposed to the port per se because they realise the benefits that will accrue to them. They just feel that the local people of Gwadar have been neglected and sidelined. Hote also fears the locals of Gwadar, and of Balochistan, will become a minority in their own province if people from all over the country are allowed to come here to work on the port and then given voting rights. He says this is how the demographics changed in Quetta when the Afghan refugees flooded in, got Pakistani ID cards, and now can vote and enjoy all the rights of the citizens.

I asked him what he proposed should be done, and he said people should come to work here but they should not get voting rights. He drew a parallel with Dubai where workers from outside cannot have all the rights that locals have howsoever long they stay here. But Hote then checked himself to say that Dubai was different in the sense that it was hosting workers from abroad. But his argument was that locals should be given preferential treatment, which at present they were not.

From his office I headed off to meet another nationalist who wields a lot of influence in the town. Mir Hussain Ashraf is the Provincial Vice President of Nawab Akbar Bugti's Jamhoori Watan Party and a former federal minister. He also has some reservations about what is happening in Gwadar.

"How can a young man from Gwadar compete with someone from Islamabad," he asks. The point being, he says, locals should not be expected to get jobs on sheer merit. They should instead be given preferential treatment for jobs at the port. Ashraf says they will continue to protest till they are given their due rights. Some protests turned ugly earlier this month. The Coast Guards raided a warehouse to confiscate what they said were smuggled goods. In reaction, local traders turned violent, burnt and ransacked a few shops belonging to non-locals and held a tense standoff with security agencies. Only deft handling by the local authorities defused the situation.

How genuine are these grievances of the nationalists? And how are they being addressed. To find out, I went to see the District Nazim of Gwadar Babu Gulab Baloch at his house overlooking the sea. The Nazim had been in a spot of trouble himself the day before. A group of men angry at some property dispute, had roughed up his staff and damaged his office premises. But the Nazim appeared unruffled when I met him. He said it was unreasonable for the nationalists to oppose the port, but admitted that some of their grievances were genuine. But in the same breath the Nazim said President General Pervez Musharraf and Prime Minister Shaukat Aziz were making sure that everything was worked out to the satisfaction of all. He said he had met with the parliamentary committee on Balochistan headed by Senator Mushahid Hussain, and the committee was also aware of the grievances.

Officials in Gwadar however, say the few law and order problems that have occurred in city do not have much to do with the opposition to the port. As such, they say, these problems are rooted in day-to-day issues and are tackled on the same basis. Brig Farooq Ahmad Mir is the Chief Security Officer and he oversees and coordinates all law enforcement agencies in the area. He was all praise for the people of Gwadar and Balochistan and said he and his staff were able to keep peace in the area with the cooperation of the local people.

As we wrapped up our exhaustive visit, some things had become clear to me. Gwadar and its people are going through a historic moment. If the plans materialise, this small town at the edge of Pakistan - a town which has not experienced even the basics of modernisation, could transform into a truly international and cosmopolitan city. This dramatic transformation will have far-reaching repercussions for the town, province and country as a whole. Gwadar could become the engine of change for Balochistan, and it could also prove that economic and social development can end up solving even the most hardened political problems. What can be more exciting than to see an underdeveloped, undereducated and backward tribal society standing on the edge of international success. This is the story of this sleepy fishing village called Gwadar.






Work on Gwadar International Air Port would be starting soon
Work on Gwadar International Air Port would be starting soon. With the opening of the International Airport along with the deep sea port Gwadar is set to be one of its kind economic hub of Asia .





Chinese Premier assures that the seaport at Gwadar . . .
Chinese Premier assures that the seaport at Gwadar would bring economic prosperity to the region, with which both Pakistan and China would benefit greatly. The Chinese premier expressed these views on his recent visit to Pakistan . He also said that Pakistan and China are hand in hand in various developmental projects including Gwadar and China will continue to extend its support to Pakistan always.





Foreign interest is being shown in Gwadar . . .
Foreign interest is being shown in Gwadar as China is developing the Deep Seaport. The first phase of which has been completed and it will be fully factional by the start of next year.

Iran has started providing electricity to the Gwadar . . .
Iran has started providing electricity to the Gwadar, which would further facilitate establishment of industries and residential projects in the future, city of opportunities.






Pakistan National Shipping Corporation (P.N.S.C) . . .
Pakistan National Shipping Corporation (P.N.S.C) is starting a ferry service between Karachi and Gwadar very soon so that the means of traveling to Gwadar can become swift and economical.






G.D.A (Gwadar Development Authority) has already awarded contracts . . .
G.D.A (Gwadar Development Authority) has already awarded contracts for the construction of 50 & 60 meter wide Marine Drive & Padi Zar Boulevard, which is going through Golden Palms Township. This will Inshallah provide direct approach to the project from the seaside in near future.

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