Karachi: DP World, Pakistan Railways, and the National Logistics Corporation (NLC) have initiated construction on the Dedicated Freight Corridor and Multimodal Logistics Park at Pipri, marking a significant advancement in Pakistan's logistics infrastructure. This development follows a groundbreaking ceremony held at the project site.
According to Emirates News Agency, the project aims to enhance cargo connectivity between Karachi's ports and Pakistan's inland markets by transitioning container movements from road to rail. The ceremony saw attendance from prominent figures including Pakistan's Federal Minister for Railways, Hanif Abbasi, DP World's Group Chairman and CEO, Sultan Ahmed bin Sulayem, and senior representatives from NLC, Pakistan Railways, and other related entities. The collaborative venture will establish an integrated rail-and-logistics hub designed to boost cargo velocity, reliability, and efficiency for both import and export activities.
The initial phase of the project involves refurbishing a 52-kilometre rail corridor linking Karachi Port to the Marshalling Yard at Pipri, coupled with the development of a cutting-edge multimodal logistics park. This facility at Pipri will amalgamate rail, road, and port operations into a singular, streamlined logistics hub, offering a broad spectrum of integrated services such as warehousing, cargo consolidation, and value-added logistics solutions. The first phase is anticipated to be completed within four months.
Upon completion, the facility is expected to significantly alleviate congestion at Karachi's ports, redirect heavy container traffic away from urban roads, reduce logistics expenses and transit durations, lower carbon emissions, and prolong the lifespan of vital road infrastructure. Containers arriving at Karachi will be directly transported by rail to Pipri, from where they will be dispatched via rail and road to destinations within Pakistan, as well as to China, Central Asia, and other regional markets. Pakistani export cargo will follow the reverse route to Karachi's ports. By centralizing cargo handling at Pipri, the project is projected to decrease truck congestion in Karachi, Pakistan's largest city, and enhance turnaround times across the supply chain.
Sultan Ahmed bin Sulayem, Group Chairman and CEO of DP World, stated, "This project reflects DP World's long-term commitment to developing world-class trade infrastructure and resilient supply chains that connect markets more efficiently. By integrating rail, road, and port infrastructure, the Dedicated Freight Corridor and Multimodal Logistics Park at Pipri will enhance trade flow efficiency, support sustainable logistics, and strengthen Pakistan's role as a key regional trade gateway."
The partnership between DP World, NLC, and Pakistan Railways was solidified with a Term Sheet in January 2025, followed by a commercial agreement later that year. The ongoing construction signifies the next phase of DP World's sustained investment in trade-enabling infrastructure within the region.
With construction now in progress, the project represents a pivotal step in the modernization of Pakistan's logistics ecosystem and underscores DP World's role as a strategic partner in advancing trade-enabling infrastructure in the country. It is anticipated that the development will bolster regional trade corridors by enhancing connectivity from Pakistan's ports to inland and cross-border markets.