Govt approves Rs12b to transform Gadani yard



ISLAMABAD:

Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry has announced the approval of Rs12 billion for transforming the Gadani Ship-Breaking Yard into a model green facility, aligning the maritime sector with international climate and environmental standards.

According to an official statement released on Wednesday, while chairing a high-level meeting on the Gadani redevelopment, Chaudhry underscored the ship-breaking industry’s contribution to the economy and its potential role in the country’s climate resilience strategy.

“Ship recycling must evolve to meet global sustainability standards. This transformation is essential to reduce pollution, manage hazardous waste responsibly, and contribute to a greener maritime future,” he said.

The maritime minister added that this major initiative focuses not only on modernising infrastructure and safety mechanisms but also on addressing the climate crisis through green shipping and environmentally responsible ship recycling.

Secretary Maritime Affairs Syed Zafar Ali Shah informed the minister that a 30-bed hospital, residential blocks for medical staff, and labour colonies will be constructed as part of the project’s social uplift component. Additionally, 32 kilometres of roads, a school, a public park, and modern water supply and treatment systems will be installed to support the workforce and local community.

The minister directed the relevant authorities to establish a robust monitoring mechanism to ensure transparency and the timely implementation of the project. He stressed that the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC) must be strictly observed.

He noted that Gadani produces over 1.2 million tonnes of steel annually, making it a critical part of Pakistan’s scrap and steel supply chain. However, after years of stagnation, the industry is now facing serious challenges in keeping pace with regional competitors.

“Gadani was once among the world’s largest ship-breaking hubs. Today, it stands at a crossroads — either we modernise it in line with green shipping goals or risk further decline,” he warned.

Chaudhry emphasised that the revitalisation of Gadani would contribute to Pakistan’s broader climate goals, support the green economy, and reposition the country as a regional leader in sustainable ship recycling.

He reaffirmed his commitment to working with provincial governments and industry stakeholders to establish Gadani as a model yard for safe, climate-resilient, and economically viable ship-breaking.



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