20000104

KPT contests

Apsa stance

against CFS

RECORDER REPORT

KARACHI: The Karachi Port Trust (KPT) has contested the proposal made by All Pakistan Shipping Association (Apsa) that no Container Freight Station (CFS) should be set up for the next 10 years because there is nil growth in container traffic due to the economic slowdown.

Commenting on a report published in Business Recorder of December 31, 1999, a KPT spokesman said that the Karachi Port is at present handling over 550,000 TEUs, out of which about one-fourth are CFS containers. He said that at present a number of CFS container yards, run by private operators, are spread all over the city and are a source of major inconvenience to both the shippers and the users. They neither have the equipment nor organisation to handle CFS operations. The proliferation of these container yards itself confirms the need of a well equipped CFS yard contrary to the contention of Chairman Apsa.

The KPT spokesman further said that the establishment of a state-of-the-art CFS station with multi-modal transport facility in close precincts of the port had never been contested at any forum or by any shipper or user. In fact, it always remained a major port need and was included in all developments plans and studies of KPT.

"Interestingly, the firm of the chairman of Apsa was a major contender for the project floated under a BOT dispensation. He personally made presentations at all forums, including KPT Board, espousing the need of CFS station and viability of his bid", the KPT spokesman said.

He said that six bidders including the firm of Apsa chairman Farrukh Qaisar responded with technically and financially sound bids under a BOT arrangement were called. The bidder giving maximum revenue to KPT with needed technical and operational wherewithal was awarded the project after open tendering and evaluation process, the spokesman added.