Pakistan’s commercial hub and biggest port city, Karachi would now be able to dock mega-ships after the completion of one of the biggest shipping terminal projects. Hutchison Port Holdings Ltd, which is owned by Hong Kong-based billionaire Li Ka-Shing is all set to start work on Pakistan Shipping Terminal after a 5 year delay.

According to the company’s agreement with the Karachi Port Trust, Terminal operations in Pakistan will begin before the end of the year. This investment by a Chinese company is part of the $46 billion investment under China Pakistan Economic Corridor (CPEC). These Chinese companies are interested in investing in Pakistan since the country is poised to for growth after successful execution of the early harvest CPEC projects.   The company in charge of managing the shipping terminal is a subsidiary of CK Hutchison Holdings Ltd.

Shafiq Faridi, spokesman for the Karachi Port Trust, while giving the details about the project said, “Most of the work is done and the leftover dredging and road work will be complete before the launch.”

Abid Butt, CEO of a Karachi-based freight company e2e Supply Chain Management Ltd, said,

“Pakistan has been lagging behind big time and now we are moving into the future with this terminal being one of the deepest in the region. The port can become a transhipment location given India is congested and located better than Dubai’s Jabel Ali.”

More than half of the country’s trade is dependent on transshipment. According to Butt, the roads and communication networks surrounding the port need to be expanded as well to manage the arrival and departure of additional cargo through the super-sized ships.