Pakistan National Shipping Corporation achieves turnover of Rs. 15,585 million – Increase in freight earnings by 28.49percent -gross profit during the year was of Rs3,368 million

Karachi, October 30, 2014 (PPI-OT): Muhammad Siddique Memon, Chairman PNSC presided over The 36th Annual General meeting as Chairman of Pakistan National Shipping Corporation. He was addressing that PNSC was established under the provisions of the PNSC Ordinance, 1979 and is principally engaged in the business of shipping, including charter of vessels, transportation of dry and liquid cargoes and has other related services.

He informed that PNSC Group achieved a turnover of Rs. 15,585 million as against Rs.12,129 million last year with an increase in freight earnings by 28.49%. The increase was mainly attributable to improved liquid cargo freight business despite plunging freight rates.

The gross profit during the year was of Rs.3,368 million which after taxation was of Rs.2,149 million which is slightly more than last year’s profit after taxation of Rs.1,991 million. He added that with the operations, administrative and general expenses do incur. However, our Administrative expenses and other operating expenses decreased by 6.8% due to better cost control measures.

The Management has adhered to its policy of fleet modernization with the objective to lower operational costs. The acquisition of one more modern Aframax Crude Oil Tanker negotiations has been finalized with its sellers. PNSC has its fleet renewal / expansion plan. The objective of PNSC has been to diversify and modernize its fleet and enhance carrying capacity and achieve a lifting of minimum 40 % of national sea-born trade of about 64 million per annum by 2025.

It is the vision of the Corporation to develop and execute short-term and long-term business plans and ensure sustainable growth of the Corporation as the National Flag Carrier and a lead player in the shipping industry. The Vision 2025 of PNSC has been subdivided into short term, medium term and long term plans primarily based on business strategy of operating in the international competitive markets to achieve the goals.

In the short term plan the ultimate objective of PNSC is to enhance the scope of contract of Afreightment (COA) with Oil Refineries and Oil marketing company to total 18 million tons of import of crude oil and oil products. The fleet development plan for the ear 2014-2015 caters acquisition of two modern and relatively younger second had Aframax tankers.

The medium term plan is to achieve the status of carrier and shipping agent for all coal imports. PNSC is a member of the working group established by the Punjab Power Development Board of the Government of Punjab for study and putting up a detailed report on coal logistics and transportation. PNSC is to achieve the status of carrier and shipping agent for all coal imports.

PNSC is currently in negotiations with other stakeholders in LNG project of the Government for shipping segment of LNG and the establishment of a consortium of all the stake holders including PNSC in the supply chain of LNG project. Negotiations are in progress with Public Sector Organizations for long terms of contracts of affreighment in compliance with the directive of the Government of Pakistan obligating PNSC to act as shipping agent and provide Shipping service to Public Sector Organizations.

Long term plan is to consolidate commercial and financial standing of PNSC, enhance and maintain deadweight carrying capacity of over 1.5 million tons by 2025, achieve lifting of equivalent to over 40% by volume of Pakistan’s annual sea borne trade, operate efficient and competitive coastal as well as regional shipping and maintain an inventory of 15 ships of less than 15 years of age.

For more information, contact:
Hafiz A.H Nizami
Assistant Manager Public Relations
Pakistan National Shipping Corporation (PNSC)
PNSC Building, M.T. Khan Road, P.O. BOX No.5350,
Karachi-74000, Pakistan
Tel: +9221 9920 3980 (20 Lines)
Fax: +9221 9920 3974 and +9221 3563 6658