Ship agents push for rule change

Published March 5, 2026 Updated March 5, 2026 08:58am
A file photo of shipping containers. — Reuters/File
A file photo of shipping containers. — Reuters/File

ISLAMABAD: Ship agents have asked the Federal Board of Revenue (FBR) to change current transhipment rules to allow storing cargo at off-dock terminals, arguing that regional disruptions in maritime trade provide an opportunity for the country to become a transhipment hub.

In a letter addressed to FBR Chairman Rashid Mahmood Langrial, the Pakistan Ship’s Agents Association (PSAA) stated that the ongoing conflict in the Middle East has seriously disrupted maritime trade, rendering several major transhipment hubs in the region inaccessible.

The letter written by Muhammad Rajpar, chairman of PSAA, noted that the situation has created a time-sensitive opportunity for Pakistan to attract international transhipment cargo and develop its ports into regional transhipment centres.

PSAA indicated that current customs regulations prohibit the storage of transhipment cargo at off-dock terminals, thereby restricting the country’s capacity to manage additional cargo volumes.

According to the letter, on-dock terminals currently face severe capacity constraints and are already close to full utilisation, making it difficult to accommodate expected transhipment cargo.

Published in Dawn, March 5th, 2026

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