Work on Rs12bn Gadani shipbreaking yard begins: minister
ISLAMABAD: Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry on Thursday announced that his ministry has started working on the Rs12 billion Gadani Shipbreaking Yard to modernize the shipbreaking industry.
Chairing a steering committee meeting to review progress on the project, Junaid Chaudhry said physical construction is underway on key facilities, including a 30-bed hospital, a labor colony, a school, and solar power infrastructure.
He said that infrastructure is being built to align the facility with international safety and environmental standards.
Chaudhry announced approval of USD 43.3 million in June 2025 for a project to turn a prominent ship-breaking yard in the south-western coastal town of Gadani into a model green facility. Decades ago, Gadani used to be counted among the world’s main destinations for end-of-life vessels, where old and decommissioned ships were regularly dismantled, and their parts recycled, reused, or resold.
“Our objective is to transform Gadani’s traditional shipbreaking practices into a modern, safe, and environmentally responsible ship-recycling industry that meets global standards,” Junaid Chaudhry said, noting the yard’s critical role in Pakistan’s steel-scrap market and supply chains.
“The overhaul aims to bring Gadani in line with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships,” the ministry said, referring to an International Maritime Organization (IMO) treaty that establishes global regulations to ensure safe ship recycling.
The project covers both social and industrial infrastructure, incorporating 32 kilometres of internal roads, a public park, hazardous and industrial waste-treatment systems, fire and rescue stations, and dedicated water treatment facilities.
Project Director Saeed Ahmed Umrani briefed the committee that implementation has entered the active procurement and construction phase, backed by a federal Public Sector Development Programme (PSDP) allocation of Rs780 million for 2026–27.
Junaid Chaudhry directed project authorities to maintain implementation momentum and ensure all new infrastructure meets strict operational benchmarks.