Transforming Gwadar: Turkish and Saudi Investment in Free Zone Warehouses
The Gwadar Free Zone is attracting substantial interest from Turkish and Saudi delegations, both eyeing significant investments with tax incentives. Leading the Turkish delegation, Ahmad Emran Ayubi, in collaboration with Pak-Saudi Business Chamber representative Sohial Siddiqui, Adeeba Sheikh from Lahore Chamber of Commerce and Industry, and Pakistan Transport Council President Tanveer Ahmed, engaged with COPHC executives, traders, entrepreneurs, and marketers in Gwadar.
P.c. Umar
Their vision is to establish warehouses within the Gwadar Free Zone, touting it as a more economically viable and productive option compared to the expensive and congested Jabel Ali in the UAE. Ahmad Emran Ayubi emphasized that Turkish companies, currently utilizing facilities in Jabel Ali, are eager to shift their operations to Gwadar. From here, they plan to distribute products such as tires, automotive parts, and batteries to markets in Central Asia, South Asia, and the Middle East.
Gwadar's warehouses offer comprehensive inventory management services through modern IT-based WMS, accommodating various customer demands like FIFO, LIFO, FEFO, and LEFO. They also provide batch/lot expiry control and ABC analysis. Additionally, Gwadar offers bonded warehousing services, catering to custom bonded cargo requirements. A GPA official confirmed that Gwadar Free Zone phase II aligns with Pakistan Vision 2025, which aims to enhance the modern warehousing industry within the national transportation and logistics infrastructure.
The development of industrial parks and Special Economic Zones (SEZs) along the China-Pakistan Economic Corridor (CPEC) will bolster warehouse networks, transportation systems, and logistics infrastructure. Road freight, currently dominating land transportation, is expected to share space with rail freight, thanks to modernization and expansion through ML-1. Priority is given to the development of road, rail, sea, and air networks. Private sector involvement in logistics infrastructure development is gaining momentum, and transportation and warehousing are poised to lead the growth of the logistics industry from 2023 to 2025.
Following the inauguration of the Gwadar New International Airport, a CAA official emphasized that Pakistan's international freight forwarding industry is poised for significant growth. This sector plays a pivotal role in Pakistan's GDP within the service sector, managing the logistics of the country's international trade. International freight forwarding services facilitate both exports and imports on a large scale.
Gwadar trader Imtiaz Gul, specializing in warehouse services and logistics, highlighted that Gwadar is emerging as a hub for warehouse services and the freight forwarding and logistics industry, contributing significantly to Pakistan's overall economy. Logistics Service Providers offer comprehensive support throughout the trade process, encompassing sea and air freight, customs clearance, warehousing, road and rail transportation, packaging, and various value-added services.