October 26, 2001	Friday	Shaba'an 8, 1422

KARACHI, Oct 25: Minister for Communications Lt-Gen (R) Javed Ashraf Qazi on Thursday said the government would invoke the sovereign guarantee to save the interests of the importers and exporters.

Talking to newsmen during his visit to Karachi Port and Harbour area, the Minister said each ship, calling to Karachi Port and Port Bin Qasim was being provided security through vigilance boats. These boats were patrolling in the harbour area round the clock, he said.

He said that in presence of such enhanced security, the imposition of War Risk Premium by Lloyds Insurance to Pakistan was not justified.

This “uncalled for” premium has made Pakistani products expensive, which would have adverse effects on overall economy of the country, he said.

“Pakistan is not at war, its ports are far away from the war area of Afghanistan and we feel that this premium is uncalled for.”

He explained that the ships calling Pakistani ports are well protected and out of risk of US-Afghan war. Still they are provided security by the Pakistan Navy besides heavy presence of British and American troops in the Gulf to subvert any threat to vessels in the region.

Moreover, he said that Pakistan Mariners have been deployed at the ports to ensure security and boost confidence of the shipping companies that their vessels were well protected in Pakistan’s water.

He said under the prevailing security arrangements, it is surprising and disturbing to be subjected to war risk premium which Lloyed Insurance Company should withdraw at the earliest.” If it did not, Pakistan will invoke the sovereign guarantee to ensure cost effectiveness of Pakistani imports and exports.

He said a delegation of Lloyed Insurance Co., is currently visiting Karachi on the invitation of the government to see the harbour and ports to assess the risk involved in vessel movement here.

“I hope that after the visit, they will lift the premium.”

The government is well aware of the problems of the traders and sincerely making efforts to minimize the losses of the importers and exporters which they have to suffer due to changing environment in the perspective of US-Afghan war. He expressed the hope that the things will change for the better in due course and the negative signs in the economic life of the nation will switch to positive side.

Replying to a question, Javed Ashraf Qazi said he personally feel that Lloyed Insurance Co is covering part of its huge losses in the form of claims arose out of terrorist attack on world trade center. But, he added, imposition of such a charge on Pakistan was totally unjustified and should be withdrawn immediately.

To a question, he said the cargo handling at both the sea ports had increased, and not decreased after September 11.

Quoting figures, prepared by Karachi Port Trust (KPT) he said the cargo handling at the port has increased on average of 7.7 per cent during the period between September 12 to October 24 against the corresponding period of the last year.

The import cargo handing has increased by 6.87 per cent and export cargo by 11.26 per cent, he said.

Similarly, he said container handling at the Karachi Port has increased by 5.2 per cent after September 11 incidents.

He said Port Bin Qasim Authority (PQA) would acquire funding from Islamic Development Bank (IDB) to purchase a new dredger for its permanent use,

He said the government had initiated a number of projects for the development of the port, which included deepening of the channel, construction of three new jetties for oil, fertilizer and general cargo on BOT (build-operate-transfer) basis and starting night navigation at the port.

Hopefully within three months work on three jetties would start, he said.

The Communications Minister said new tugs and pilot boats were being purchased for Port Qasim.

He said in absence of night navigation facilities at the Port Qasim, ships could not come to the port at night. Earlier, the PQA had initiated night navigation, which could not work as most of the lights were stolen.

“We have designed a detailed plan for night navigation facility at Port Qasim under which Pakistan Navy would be contracted to provide vigilance and patrolling at the channel,” he said.

Javed Ashraf Qazi said to allow much bigger ships at the port, the PQA would have to deepen the channel. “Our ultimate aim is to acquire 16 meter draft at the Port Qasim,” he said.

The communications minister said the PQA has signed a contract with a Korean company to dredge the channel to 13.5 meters. After dredging, the PQA would be able to handle ships of 11.5 meter draft. He hoped that within two weeks, the Korean dredger would arrive at Port Qasim.

He along with KPT Chairman, Director General Port and Shipping went around West and East Wharf and cruised harbour. He also inspected cargo operation at various births at Karachi International Container Terminal.—APP