KARACHI, March 8: A 25-year lease agreement on management of land and harbour operation was formally signed between the two key organizations responsible for the maintenance of Karachi fish harbour, it is learnt here on Monday.

The agreement, to be enforced during the current fiscal year, was inked by the Fishermen Cooperative Society (FCS) and the Karachi Fisheries Harbour Authority (KFHA). The signing of the agreement has ended the longstanding dispute between the two sides.

Under the agreement, the FCS is entitled to manage the land, measuring 24,102 square yards, within the limits of the harbour. The FCS would exclusively use the land and buildings for marketing and auction of fish and manage the auction hall for fish landing and office purposes only.

Buildings on the specified land could not, at any time, be used temporarily or permanently, for any purpose without the prior approval from the KFHA in writing, says the agreement.

It states that the FCS would be responsible for the satisfactory performance of the management as well as operational activities, including quality control conditions, maintenance of hygienic conditions and general cleanliness on the leased land (presently declared as Export Zone) specifically and perfectly in accordance with the European Economic Community (EEC) standards.

The FCS would abide by all the directives from the European Union. Such directives include those specified with a view to streamlining the auctioning system in a scientific manner and under the supervision of the KFHA.

The agreement binds the FCS to comply strictly with the Karachi Fisheries Harbour Authority Ordinance 1984 and the rules and regulations relating to it as well as the Sindh Fisheries Ordinance 1980.

Under the agreement, the KFHA would not claim outstanding dues on account of ground rent for the period prior to the financial year 2003-2004. The FCS has also agreed to pay the rent amounting to Rs10 million per annum before July 10 to the KFHA for the port facility being availed by the FCS.