ISLAMABAD:
The federal government has revised a draft business settlement on the devoted freight hall that offers Pakistan Railways the appropriate to purchase again belongings.
Sources informed The Specific Tribune {that a} assembly of various stakeholders, chaired by Deputy Prime Minister and Overseas Minister Ishaq Dar, determined that the Railways Division would restrict the timeframe for signing a phase-II business settlement. It was agreed that the phase-I business settlement could be revised by including an exit clause whereby Pakistan Railways would have the appropriate to purchase again the concessionaire’s belongings on the internet e-book worth and the stakeholders concerned would provoke negotiations inside 12 months of the business operation date (COD) for phase-II.
It was additionally determined to conclude negotiations inside 45 days to finalise and signal the business settlement for phase-II. In case the negotiations stay unsuccessful, each events could have the appropriate to terminate the business settlement and Pakistan Railways will get pleasure from the appropriate to purchase again the concessionaire’s belongings on the internet e-book worth.
The Ministry of Railways knowledgeable the assembly that the exit clause had been examined by a negotiation committee, which met on Could 25, 2025. Committee members unanimously agreed on the exit clause, which was integrated into the draft business settlement. It was additionally highlighted that the Ministry of Regulation and Justice had vetted the revised draft business settlement.
The Ministry of Railways apprised the Cupboard Committee on Inter-Governmental Industrial Transactions (CCoIGCT) that the federal government of Pakistan, represented by the Ministry of Railways, and the federal government of Dubai, represented by Ports, Customs and Free Zone Company, had signed on January 17, 2024 the Inter-Governmental Framework Settlement on Cooperation within the Railways Sector for funding and development of a devoted freight hall together with social logistics parks and rail freight terminals on the Pakistan Railways community.
It was recalled that the CCoIGCT had accepted the structure of a negotiation committee to deliberate on the draft business settlement together with variables and parameters for the value discovery mechanism throughout its assembly held on February 1, 2024. The choice of the CCoIGCT was ratified by the cupboard on February 5, 2024.
Moreover, in a sitting of the Particular Funding Facilitation Council (SIFC), held on October 28, 2024 and attended, amongst others, by DP World (a Dubai-nominated entity) and Pakistan Railways (a Pakistan-nominated entity), it was determined that the venture could be executed in two phases. Due to this fact, as knowledgeable by the Ministry of Railways, the draft business settlement was primarily based on phase-I of the venture.
The railways ministry informed the CCoIGCT that the negotiation committee had made suggestions for the business settlement, as negotiated between the events, which can be accepted by the CCoIGCT and exemptions from procurement and competitors legal guidelines could also be granted in accordance with Part 5 of the Inter-Governmental Industrial Transactions Act, 2022.
CCoIGCT was requested to approve the revised draft business settlement together with suggestions of the negotiation committee, as recorded in para-6 of the abstract, to allow the Ministry of Railways to proceed additional beneath the Inter-Governmental Industrial Transactions Act. Throughout discussions, the railways ministry apprised the discussion board of compliance with the CCoIGCT selections taken in July 2025, beneath which the ministry had been directed to discover home assets for the venture and restrict the timeframe for signing the business settlement for phase-II.
The ministry stated that after intensive consultations with the stakeholders, a revised business settlement on the devoted freight hall had been drafted by incorporating the CCoIGCT’s directives. The discussion board appreciated the efforts made by the ministry in compliance with its directives and accepted the proposals contained in para-6 of the abstract. The CCoIGCT thought-about the abstract titled “Approval of Modified Draft Industrial Settlement on Devoted Freight Hall” and gave the green-light to the proposals.
