Products from Gwadar free zone set to hit global market

ISLAMABAD: The exports of products from Gwadar Free Zone (GFZ) are all set to start, playing a pivotal role not only in making the port functional on a sustainable basis, but also to make inroads in international market.

“Special Investment Facilitation Council (SIFC) also played a key role in promoting exports from the Gwadar Free Zone”, a senior official of Maritime Ministry told The News.

The ECC discussed a summary submitted by Ministry of Maritime Affairs regarding export of Potassium Sulphate Fertilizer from Gwadar Port. It approved exemption for M/s Agven Private Limited, operating in Gwadar North Free Zone to export potassium sulphate fertilizer up to 10,000 tonnes annually or 50pc of actual production, which is lower until December 2025.

The approval by ECC to allow export of potassium sulphate fertilizer is revolutionary in its nature. It will not only help kickstart exports from GFZ, but will also encourage other businesses to invest in the zone.

The official said SIFC’s support in coordinating exemption from Export Policy Order for GFZ is a step in a new direction. The export-oriented businesses will be encouraged to look at the facilities available in the GFZ and Gwadar Port.

“The decision supports development of Gwadar Free Zone while ensuring regulatory oversight through biannual shipment limits and data monitoring mechanisms”, the official said.

According to Samad Khan, CEO of Agven PVT Limited, exports in 2025 will be around $7 million from this plant alone. In future, with higher export approval, expansion in the Agven plant and other investors coming in potassium sulphate production, exports can expand to around $80 million in 2-3 years.

The official from Maritime Ministry said other export-oriented industries which may consider Gwadar Free Zone in the future may be related to leather processing and mineral processing as well.

To a question he said Agven is the first manufacturing plant in Gwadar Free Zone. Previously, two Chinese companies have exported animal hides and sorted metal scrap to China from GFZ.

Agven’s first export will start in April. “Currently, we are waiting for SRO/notification of export permission, and we expect this to be issued in April next month”, he said.

“We have interest for export of Potassium Sulphate to Brazil and the UAE. So we expect first two orders to go to the said destinations. We also expect to export to Kenya”, he informed.

Agven is the only industrial manufacturing plant in GFZ to-date. Another unit is being set up by a Chinese company for export of processed animal hides. But, that is not complete as yet.