Pakistan has urged the Chinese operator of Gwadar Port, China Overseas Port Holding Company (COPHC), to submit a detailed, time-bound business plan for industrialisation, stressing the need to fully operationalise the flagship China-Pakistan Economic Corridor (CPEC) project.
The demand was raised during a meeting of the CPEC Joint Working Group on Gwadar, ahead of Prime Minister Shehbaz Sharif’s visit to China for the Shanghai Cooperation Organisation (SCO) summit. Officials called for a comprehensive plan outlining the investment schedule, performance indicators, and operational forecasts, alongside a clear strategy for the North Free Zone’s design, financing, construction, and maintenance.
Islamabad also urged COPHC to develop value-added port facilities, including ship refuelling, LPG handling, and ship-to-ship transfer operations, while launching targeted investment roadshows to attract Chinese industries. Authorities noted that despite progress on projects such as Gwadar International Airport, allied services, and the Eastbay Expressway, the port and its free zone remain underutilised.
Pakistan has already implemented key facilitation measures, including regulatory approvals, transhipment support, tax exemptions, and policy incentives. These include removing the bank guarantee requirement for Afghan transit cargo, permitting potassium sulphate exports by Chinese firms, and committing to route 60% of public sector cargo through Gwadar. However, Chinese officials have sought further increases in cargo allocation, policy backing, and additional shipping routes.
Infrastructure upgrades are underway, with electricity and water supply completed for both free zones, a 1.2 million gallons per day desalination plant operational, and connectivity improvements planned through the second phase of the Eastbay Expressway and a proposed Gwadar railway link. Pakistan is also negotiating grants from China for the completion of the expressway.
While Chinese experts have acknowledged Pakistan’s recent efforts, including easing trade barriers and expediting approvals, Islamabad insists on accelerated delivery of the north free zone’s internal infrastructure and a five-year investment roadmap to make Gwadar a competitive transhipment hub and regional trade gateway.
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