The international shipping industry is responsible for the carriage of some 92 per cent of world trade and is the life blood of the global economy. Even the land-locked countries are largely dependent on sea trade.

The seaborne trade has risen from 20,000 billion ton miles in 1994 to some 35,000 billion ton miles in 2006 and presently it is 38,000 billion ton miles. This mode of transport is considered as most economical and safe. Ships are high value assets and merchant vessels generate an annual estimated income of over $400 billion in freight.

Shipping is directly linked with ports. The development in ship design, size types and cargo handling techniques necessitates upgrading of ports and their facilities to suit the shipping requirements.

The operational cost of larger vessels is high particularly for transportation of small quantities of cargoes.

The freight rates become exorbitant and less affordable; thus hub ports are developed where cargoes, containers, etc., are discharged and smaller ships whose fixed operational cost per day is much lower than mother vessels are used to carry cargoes on lesser freight rates. Many small ports having lesser draughts have adopted systems to facilitate entry of larger ships.

To facilitate trade, Pakistan and India signed a protocol on December 14, 2006 to strengthen and develop relations in merchant shipping, navigational co-ordination and ship construction and repair.

Clause (1) of the protocol states: “The provisions of this protocol shall apply to international maritime transport between the two countries and to cargo originating from/destined for a third country, except those for which cargo preference to domestic flag vessels is applicable and it shall be accomplished on the basis of the principles of free and non-discriminatory access to cargoes subject to domestic laws and prevailing practices.”

To facilitate trade amongst the Saarc member countries, the merchant ships of both the countries should carry a sizeable agreed cargo from each other ports, destined for the ports of the South Asia Region, the land-locked countries of South Asia including, if agreed upon, for South East Asian countries, as well.

Presently, ports and shipping sector in Pakistan mainly depends on captive trade which is the main reason of higher costs in freight rates and ports operation and it is imperative to have transit trade that shall undoubtedly reduce freight rates and ports charges.

Unfortunately, the affairs in the merchant marine organisations have never been run by professionals and technocrats. Often, naval officers who were neither trained nor qualified nor had any experience of commercial shipping were at the helm of affairs of these organizations. Consequently, shipping industry has remained in doldrums.

Even during democratic governments, officials of the Pakistan Navy managed to get top slots, barring a few appointments from amongst the civilians having access to the civilian governments, but they did not possess any qualification and experience of commercial shipping.

Appointments are not made on merit and qualification. This has ruined the merchant marine industry. It is high time to change and formulate a new Merchant Shipping Act and Policy without any delay.

At least one of the country’s ports be developed as a “hub port” for transit cargo for the South Asia Region. Mother vessels may discharge cargoes and smaller feeder ships may carry cargo destined for other ports in the South Asia Region. Such an arrangement shall eventually reduce costs, provide employment and foster better relationship amongst Saarc countries.

The provisions of the protocol for best navigational co-ordination ship construction and repair between the two countries, if implemented, would prove economical. Furthermore, training and certification schemes of the two countries in particular and generally amongst Saarc countries for seafarers should be open to members of the Saarc countries in particular and that of the whole world. The exchange of views should be a regular feature amongst the citizens of Saarc region including employment of nationals on board merchant ships of the South Asia Region.

Clause (2) of the protocol provides that holder of seaman’s identity documents specified in Article (6) shall, during the stay of the vessel in the ports of the other country, be permitted to land on temporary shore leave without visa, on his obtaining a landing permit valid for a period not exceeding 24 hours, provided he deposits his continuous discharge certificate/seaman service book/seafarers’ identity.

In spite of the protocol the seafarers of either country are not allowed shore leave. The shore leave facility to both India and Pakistan seafarers for the period of vessel’s stay at ports of the respective country should be allowed to improve relations between the countries.

(The writer is General Secretary of Pakistan Merchant Navy Officers’ Association)