INP-WealthPk

Effective logistics crucial for Pakistan's trade success amid CPEC developments

August 05, 2024

Ayesha Saba

Amid the CPEC developments, Pakistan needs an effective and well-coordinated logistics and transportation infrastructure for transporting goods from borders, ports, and airports to the global destinations for export. Talking to WealthPK, Dr Muzammil Zia, Regional Connectivity and Infrastructure Specialist, CPEC Secretariat, said effective logistics were essential for moving products from the factory floor or field to the point of consumption. "No matter how cost-effective the production is, without a well-connected logistics industry, capitalizing on these opportunities will be very challenging," he cautioned. He said China's Belt and Road Initiative (BRI) emphasized the need for a massive logistics development. One of the most significant initiatives is CPEC, which offers the fastest way to speed up trade activity at the lowest cost and in the shortest period of time. Though China has already invested $62 million in Pakistan's logistics and transportation network, it still needs advancement, he said. "Pakistan needs to support this large investment with a cohesive policy and planning framework to transform its transport sector into a modern, sustainable and effective system.

There is also a critical need to enhance supply chain management and logistics to reduce costs and transit times," he added. He also advocated for joint ventures between the Pakistani and Chinese logistics companies to leverage expertise and technology. As part of the CPEC and BRI, China has also delivered 160 high-end pure electric buses to Pakistan. Featuring zero emissions, low operating costs, and low noise pollution, these buses are significantly enhancing public transportation efficiency and improving travel quality. This initiative supports sustainable development and strengthens the strategic partnership between the two countries. According to the Ministry of Planning, Development and Special Initiatives, a multi-modal regional connectivity roadmap is currently under development. This strategic plan is expected to be a significant milestone in enhancing and coordinating transport and trade within Pakistan and the broader region. The plan aims to attract foreign investment, improve connectivity, and enhance facilities at cross-border locations along the CPEC route.

Credit: INP-WealthPk