Pakistan Railways to recover losses through PP ventures

It is reported that Pakistan Railways will initiate new projects under public-private partnership in all its sections including dry ports, which will help substantially recover its losses.

Mr Sami-ul-Haq Khilji Railways Secretary during his visit to Prem Nagar Dry Port to review development work there said that Prem Nagar Dry Port would largely facilitate Sundar and Chunian industrial estates. With the help of Punjab Board of Revenue, the PR also acquired 100 acres of private land adjacent to the Prem Nagar Railway Station with a cost of PKR 135.345 million.

He said, the project would cost PKR 1.729 billion, while Premier Mercantile Service and Qasim International Containers would also invest PKR 1.235 billion under joint venture with Pakistan Railways.

Both the companies, he said that would finance warehouses, public offices and container handling machinery, while Pakistan Railways would provide track and operational system at the port. He added that the project would be completed by June 30th 2009 and after that the port would be leased out to both the companies for 35 years. On completion of the lease period, Pakistan Railways would have the complete ownership rights of the entire infrastructure at the port.