FORMATION OF PNSC
[dropcap]P[/dropcap]akistan National Shipping Corporation (PNSC) was established through an Ordinance XX of 1979 that merged two shipping companies, National Shipping Corporation (NSC) and Pakistan Shipping Corporation (PSC). Administration of the affairs and business of the Corporation was vested in the Board of Directors.
BUSINESS OPERATIONS
PNSC is engaged in the following sea transportation trades i.e.:
- Dry Bulk Cargo and
- Liquid Bulk Cargo (Crude & White Oils)
- Slot/NVOCC Services
PNSC has been operating in Dry Bulk market for a long time. PNSC has transported raw material such as Iron Ore for Pakistan Steel Mills in the past. The Corporation acquired Five (5) Bulk Carriers b/w FY 2010-12 and now operates a fleet of Six Bulk Carriers operating worldwide.
PNSC has been involved in transportation of Liquid Bulk Cargo since 1998 through chartering in of foreign ships for carrying Pakistan’s refineries cargo by participating in open tenders until 2002. The same is now being carried in PNSC owned tankers under a Contract of Affreightment (COA) with three refineries PARCO, PRL and NRL. Corporation now has a fleet of Four modern double hull tankers and undertakes business internationally and carried crude oil for India, Kenya, Sri Lanka and Singapore.
PNSC provides NVOCC Services through slot arrangements for imports of goods by Government Departments and Autonomous bodies. PNSC has carried strategic and defense cargo through Slot/NVOCC Services.
PERFORMANCE OF PNSC
a- Financial Performance of PNSC
PNSC not only has increased the total freight movement but has also ventured in white and black oil transportation. These commercial moves have enabled PNSC to move out of cyclic profit/loss has continued its journey of profitability since 2001 onward. Profit after tax for FY 2017 nine months ended on 30 March 2016 was Rs. 1.36 billion. Table below gives the PNSC financial performance since 2002:
| Year | No. Ships | Profit / (Loss) After Tax Rs.000 |
|---|---|---|
| 2002 | 14 | 496,390 |
| 2003 | 13 | 615,740 |
| 2004 | 14 | 1,782,990 |
| 2005 | 14 | 2,898,540 |
| 2006 | 15 | 1,427,550 |
| 2007 | 14 | 2,336,873 |
| 2008 | 14 | 2,448,880 |
| 2009 | 11 | 2,312,842 |
| 2010 | 10 | 967,824 |
| 2011 | 11 | 1,007,272 |
| 2012 | 9 | 753,155 |
| 2013 | 9 | 1,991,339 |
| 2014 | 9 | 2,149,057 |
| 2015 | 9 | 2,116,410 |
| 2016 | 9 | 2,323,000 |
| 2017 (9 Months) | 9 | 1,363,916 |
[ads1]
b- Commercial Performance of PNSC
The cargo movement of PNSC has substantially increased. In year 2000, PNSC transported 3.95 million tons of cargo, which was 10.73% of Pakistan’s total sea borne trade that was 37.60 million tons. In FY 2017, PNSC transported 14.332 million tons of cargo which is 15.95% of total country’s sea trade that was 89.852 million tons.
| YEAR | PAKISTAN’S SEA TRADE (Million Tons) |
PNSC CONTRIBUTION (Million Tons) |
PNSC CONTRIBUTION (%) |
|---|---|---|---|
| FY 2000 | 37.60 | 3.95 | 10.51% |
| FY 2010 | 61.00 | 7.92 | 12.98% |
| FY 2011 | 62.00 | 9.33 | 15.05% |
| FY 2012 | 63.30 | 10.31 | 16.28% |
| FY 2013 | 64.21 | 13.39 | 20.85% |
| FY 2014 | 67.77 | 17.914 | 26.43% |
| FY 2015 | 74.38 | 16.40 | 22.05% |
| FY 2015 | 74.38 | 16.40 | 22.05% |
| FY 2016 | 83.286 | 13.33 | 16.00% |
| FY 2017 | 89.852 | 14.332 | 15.95% |
ANNUAL FLEET DEVELOPMENT PLAN
PNSC is working on acquisition of two Aframax crude oil tankers and one LR-1 product tanker for transportation of black oil & white oil imports of Pakistan through PNSC’s own funds. Further PNSC is also working on acquisition of two ROPAX Ferries, one for Karachi – PQA route and second for Karachi – Gwadar – Chahbahar route.
PNSC GOVERNANCE STRUCTURE
PNSC has developed a good governance system which includes following:
– Compliant of Code of Corporate Governance 2012.
– Compliant of PPRA-2004.
– Compliant of all applicable rules and regulations of KSE.
– Shore Management ISO-9001:2008 certified.
– Ships – Certified to International Standards of IMO.
– Youngest fleet since 1979.
– Credit Rating by PACRA (being maintained since 2010).
Long term “AA”
Short Term ” A1+ ”
– SES (Ship Expert System) – Monitoring ship operations round the clock.