various powers ,including Mughls (from the east) and the sfavids (from the
west).so this era was considered as Islamic era of Islamic rule in the history
of Gwadar .In 1581 the Portuguese captured ,sacked and burnt Gwadar .,
Gwadar In this era was called the Centuries of local rule in by various
Baloch tribes and followed by almost two centuries .In 15150s according to
Ottoman Admiral Sayed Ali Reas in the inhibition of Gwadar were Bloch
and their chief was Malik Dinar. In 1783 the khan of kalat defeated the
ruler of Muscat nd continue his rule in Gwadar by appointing a wali
(governor) and the wali was ordered to subjugate the nearby coastal
town .The Gwadar fort was built during Omani rule.
Pakistan purchased Gwadar from Oman for 3 million dollars on 8september
1958 I and Gwadar officially become part of Pakistan that time Gwadar was
a small and under developing village with a population of few thousand
.Before his Gwadar was a part of Oman In I july 1977 Pakistani
government integrated Gwadar in to Baluchistan as District headquarters of
the newly formed Gwadar District. The Pakistani government in 2002 make
Gwadar port project by this project main aim was to built industrial
complexes and connect the town via modern high way to the rest of
Pakistan so by this way the Pakistan government developed Gwadar in
1993, into a major port city with a deep sea port and connected with
Pakistans highway and rail networks. The first phase had been completed
by the end of 2004
To making a modern sea port the first phase was completed in December
2005 and the construction was stared from 22 December 2002.Gwadar
port become operational in December 2009.stategically Gwadar is very
important location between the oil rich Middle East, heavily populated south
Asia and economically emerging region of central Asia . The Gwadar port
opened in spring 2007 by the Pervez Mushraf in the presence of Chinese
communication Ministr Li shnghin, and the port become an operational in
2008, the first ship to dock bringing 52000 tons of hat from Canada
.Commrcially,it is hoped that the Gwadar port garneted billions of dollars in
revenues and create at least two million jobs .In 2007 the government of
Pakistan handed over port operation to PSA Singapore for 25 years and
give the status of tax free for 40 years. The population of Gwadar according
to 1998 census was 178989 of which 93% were Muslims with minority of
Hindus; the population was estimated to be over 250000 in 2005.
http://historypak.com/custody-gwadar-1958/
Geo-Strategic Importance
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the year. Due to these factors Gwadar is going to be the necessity of major
shipping competitors as it is the most efficient route to Indian Ocean for
world markets. Gwadar Port can therefore become a viable option for
world community due to the following reasons:
Fishing industry.
Beach Industries.
Port Related Facilities. Construction of under mentioned
facilities/industries is directly linked with the construction of Gwadar Port
and will provide employment opportunities for its locals and the region.
Trade pact with Tashkent. Considering importance of trade from CARs vis
-a-vis up coming Gwadar port. Govt of Pakistan (GOP) has very rightly
concluded a trade pact with Tashkent. In this Pakistan and Uzbekistan
have agreed to enter into a trilateral transit trade agreement with
Afghanistan to benefit from the Gwadar port facility and land routes. As per
the joint communiqu issued after meeting of reps of both sides on 29-30
Dec 2005, a Joint Ministerial Commission has been formed to formulate
details/trade quantum and the modus operandi.
Development Plans/Investment Opportunities For Balochistan
d.
Afghanistan. Afghanistan has been historically dependent upon
Pakistan for its sea routes. Present reconstruction efforts need more and
more materials, but the existing port facilities already under pressures from
Pakistans needs find it difficult to manage. Besides, through Gwadar the
access to international waters would be further reduced to great advantage
of Afghan reconstruction.
What is Chinese Interest in Gwadar?
China has a great strategic interest in Gwadar. Following are the important
ones:-
a.
China is heavily dependent upon the oil from the gulf, at present this
oil passes via a very long route, through the straight of Malacca under US
influence. After this oil has reached the Shanghai or the Chinese East Cost,
it has to be transported thousands of miles in land to West of China. By
using Gwadar port and than Karakoram Highway (KKH) its much safer,
cheaper and shorter route to west of china.
b.
Middle East is very important region in the world because of its Oil
Reserves and large markets. China has a natural dependence on this but
does not have means to influence it. Government of Pakistan has already
committed to providing a Navel Base to China in Gwadar. This will not only
help secure the Gwadar but also take the Pakistan China Friendship to new
heights.
c.
Chinese Goods will find an easier, shorter and secure route to Middle
East increasing profitability and increasing trade.
d.
China will greatly benefit from the industrial zone by setting up
industries close to the markets.
Chinese Commitments:
It is important to understand the Chinese commitments which are indicative
of importance that china attaches to Gwadar. China has very strongly
committed to Gwadar project, because of her interests. Following are the
major inputs from the China:a.
b.
China is providing approximately 80% of the cost of Port in shape of
grants and soft loans.
c.
Over 500 Chinese workers have worked on the project on 24 hour
basis to complete the port setup. There are still a large number of Chinese
workers and engineers working on the project.
d.
China has further committed to provide money and resources as and
when needed.
e.
China is setting up a Dry Port at the Pak China border to take
advantage of shorter route to sea through Gwadar.
f.
China has paid US$ 360 million to Pakistan for expansion and up
gradation to all weather traficability of Karakoram Highway linking Pakistan
with China. The contract has been awarded to Frontier Works Organization,
who has also started the project.
g.
Feasibility and engineering studies to connect China with Gwadar
through pipeline and railway track has already begun. This railway track
also has the significance of being an engineering marvel of the world.
What is International Significance of Gwadar?
Another angle to look at Gwadar is its significance and effect to rest of the
world. Following are the major developments in this regard.
a. India is threatened by Gwadar as this new port and associated
developments will help increase the influence and significance of Pakistan.
This development also brings Pakistan and China more close. A stronger
Pakistan with higher stature in the international world is not welcome to
India. India is also weary of increased dependence of CARs, Afghanistan
and China on Pakistan, with obvious benefits to Pakistan. Pakistan will
become an important player in the region through Gwadar and India is
troubled by the very thought.
b. This is the best and most advanced port in the whole region, it is
therefore getting heat from many corners. In reality this is going to be to the
benefit of every one. Shorter and more economical route to CARs and
Afghanistan is especially going to be beneficial to India who eagerly looks
to increasing trade with them.
c. Turkmenistan is a country blessed with natural gas and oil. But being
land locked, it cant benefit from them. Trans Afghan Gas Pipeline (TAP)
from Turkmenistan to Gwadar, the long dormant project that hopes to pump
Turkmen natural gas to markets in south Asia is finally ready to step off the
drawing board. This project is being developed by CENTGAS.
d. Kazakhstan is also a country with lot of Oil but no means to access the
international market. A pipeline is also planned to transport this oil to
Gwadar and than rest of the world.
e.
Many more companies in the world from various countries would be
setting up their businesses to take the advantage of State of the art world
class port the best in the region, with cheap labor and close proximity to the
huge Middle East market.
f.
Due to good geography and unscathed sand beaches, tourism and
recreation resorts have good potential and large multinational companies
are taking up locations for the purpose.
g.
Far from just an academic point of view, recent interest of various
international companies to include Shell for setting up mega oil refinery in
the area, and deep interest of UAE business groups in Gwadar are
important landmarks in this light. UAE alone is committed to investing $30
Bn, with further understanding of $60 Bn more. They have plans to build
Hotels Resorts and Recreation centers in Gwadar. Its not long when other
Arab Countries, overloaded with high returns from the record oil prices also
expose their plans in the area.
The Baluch Nationalism Threat Myth.
As mentioned before, a project of such huge international significance and
advantage to Pakistan just could not go without its enemies playing a role
to downplay this mega project and pessimists airing their voices. A strong
prosperous and important Pakistan is a hope for all well wishers and
Muslims alike, and exactly this is what is dreaded by those who dont want
a Muslim country so strong. They in order to undermine Pakistan are
creating, supporting and propagating disinformation about the so called
Baluch Nationalism. Following are some of the facts to be considered in
this regard.
a.
Govt. of Pakistan has launched a development budget of Rs. 125 Bn
for Baluchistan, other than Gwadar. This unprecedented commitment from
government has spurred the development in province to new height.
b.
There are total of 27 Districts in Baluchistan of which there is only one
district where there is some trouble. No other district has any sign.
c.
Even in this district there are 14 tribes and only one tribe has a
problem. This tribe further has more than two factions of which only one
has trouble.
d.
This district is closer to Lahore than Gwadar. How can it affect
Gwadar more than Lahore?
e.
A Baluch in the area who once tended sheep and had hard time
making two ends meet, is now driving a four wheel drive. Local feuds have
stronger economic interests with the investors and are therefore quite
opposed to any disturbance.
f.
Most recently people of Gwadar rallied to demonstrate their support
and gratitude to government of Pakistan for mega projects in Baluchistan.
They also took an opportunity to air their disapproval of the miscreants
playing in Indian hands. Wide coverage of this in local press and large
turnout speak volumes about this.
g.
Common people in Baluchistan are greatly benefited by this project,
providing them with new employment and business opportunities.
h.
A military cantonment is being set up in Gwadar to safeguard
countries interests. A Battalion of Pakistan Army has already been
stationed with more troops in follow up.
Major Developments at Gwadar
1. Govt. has pledged Rs 63 Bn to connect Gwadar with the
national Railway Network through 963KMs track, this is the
biggest ever project for Railway. A track is also being worked
on from Gwadar through Turbat, Panjgore and Rato Dero to
link up CARs.
2. 715 KMs Makran Coastal Highway linking Gwadar with
Karachi, has been completed.
3. The new International Airport has received a grant of US$75
millions from Oman and Rs 563.35 million from Pakistan
government. The work is to start shortly as soon as the port
starts its operations.
4. Prime minister has allocated Rs. 21 Billions to speedup the
development.
5. President has announced the establishment of an Oil
Refinery, British Petroleum and Shell along with others have
expressed their interests in the project. The Refinery is to be
In fact, Gwadar enjoys the status of a third Deep Sea Port of Pakistan
which has a special significance with reference to trade links with
Central Asian Countries, Persian Gulf, East Africa, United Arab
Emirates and North Western India.
Gwadar by virtue of its finest location, development projects, recreation
programmes and Governments special attention, will soon turn into a
city which will be comparable with cities like Singapore, Hong Kong and
Dubai.
In view of the promising future of Gwadar, people from Pakistan and
abroad who believe in safe and sound investment, are taking keen interest
in Gwadar.
Historical Info
Located at the entrance of the Persian Gulf and about 460 kms from
Karachi, Gwadar has had immense Geostrategic significance on many
accounts. The continued unstable regional environment in the Persian Gulf
in particular as a result of the Iran/Iraq war, the Gulf war and the
emergence of the new Central Asian States has added to this importance.
Considering the Geo-economic imperative of the regional changes, the
ADBs Ports Master Plan studies considered an alternate to the Persian
Gulf Ports to capture the transit trade of the Central Asian Republic (CAR)
as well as the trans-shipment trade of the region. Both Karachi and PQA
were considered for such development but were found unattractive to major
shipping lines due to the remoteness from the main shipping routes, the
limitations of draft for mother ships and large bulk oil carriers and the
comparative long turn around times. The ADB studies, however
considered Gwadar to have the most advantageous location for such
an alternative port in the region, which could handle mother ships and
large oil tankers in due course. Keeping that aspect in view as well as
the inherent strategic and economic benefits that Gwadar Port
offered, the transport plan of the 8th Five Year Plan (1993-94) of Pakistan
included the development of Gwadar Port as an essential element of its
aims and objectives. Technical and financial feasibilities therefore were
under taken resulting in decisions for the development of Gwadar Port by
the Govt. of Pakistan. The Project started on 22 March 2002, is on fast
track and will Inshaullah complete in schedule time i.e March 2005. In fact it
would surprise many that with initiative and calculated risk, we have
received merchant ships since Jan 2003 and have been able to off load
hundreds of tones of cargo imported for the Project, thus saving precious
time and money which otherwise is required for transportation of the same
cargo by road from Karachi/PQA to Gwadar.
Gawadar is the District Headquarter of Makran Division in
Balochistan, the largest province of Islamic Republic of Pakistan. It is
situated on the coastal line of Makran. Along the coastal line ,there are four
Tehsils including Gawadar, Jiwani, Kulanch and Ormara. Jiwani is the only
one on the western part of Gawadar, joining Iranian border on Pakistani
side. Kulanch and Ormara, on its eastern side are connecting District
Lasbela and to Karachi finally. The distance between Gawadar and Karachi
in this way, is around 715 km.
Geo-Political Importance Of Gawadar
Dubai is the hub of business not only for Gulf but also for rest of the
world including Europe, United States, Africa, China and Central Asian
States, simultaneously. The gulf region is facing many political conflicts at
the moment and huge disturbances in the current administrative structure
are expected in the coming years. In such a scenario, a substitute of Dubai
is essential to be located before the crisis hits the finances of millions. The
substitute shall be a nearest point probably, to ensure continuous supply
line of oil from Gulf to the outer world. Fortunately, Gawadar proves to be
the nearest and infact more cost-effective substitute of Dubai, from
many aspects.
China is emerging as a super economic power of the world in the recent
years. Despite occupying a huge area of worlds land, it doesnt have any
port of hot waters, which can be used the whole year. The distance of
Chinese industrial approach to the Shinghai port is approximately 16000
km and the sea travel of 2-3 months is additional. This costs them a lot in
the form of taxes and duties as well. As compared to this, Gawadar port
is only on a distance of 2500 km from China and the port is working
for the whole year because of the hot waters here. Therefore, the
interest of China in the development of Gawadar port is infact in the
interest of Chinese economy.
The central Asian states, after the independence from USSR, are trying to
develop their economies. These states are land locked and Karachi was
Subsidy on utilities.
Complete exemption from duty & sales tax on imported plants &
machinery for 10 years.
Capital gains will be exempted from tax for 5 years.
No local octroi or export tax leviable by local Govt.
Access to CARs. Gwadar Port located in proximity of Arabian Gulf
and Central Asian Republics provide it unique opportunity to serve
both. Pakistan needs to capitalize on them through better
diplomatic ties with Arab states and CARs. It is therefore
anticipated that oil reserves and other resources of CARs would
gradually become the focus of world attention in coming years.
However, in case of exports to and from CARs a peaceful and
stable Afghanistan is must. The port will also help in promoting
trade with Gulf States possessing 63% of worlds oil reserves and
will prove instrumental in promoting trans-shipment essentially of
containerized cargo besides unlocking the development potential
for hinterland. The most important factor that makes Gwadar Port
strategically unique is the location with respect to other major
ports in the region, which are all located on the other side of the
sea. Gwadar port being towards north can easily provide services
and facilities to CARs, Afghanistan and China.
Upcoming Fishing Harbour/Industry. Planned fishing
harbour/industry linked with this port will facilitate efficient
exploitation of our 960 KM of long coast
which would give boost to fish and crab exports and would
promote food processing industries as well. Gwadar could also be
a potential source of gas and oil exploitation.[1] These areas
clearly indicate the vast potential which should be exploited and
will help contribute towards national economy.
Instability in Gulf. Gulf region and CARs contain one of the largest
oil and gas resources of the world respectively. Gulf countries in
particular, have capitalized on it by constructing major
commercial centers with bulk port facilities. Pakistan, could not
cash on this opportunity earlier due limited resources which Gulf
countries did and so have well established ports these days. Gulf
presently is badly exposed to world due instability in region and
Historical Perspective
Benefits
Scope of Work
Human Resource
Investment Opportunities
Potential Projects
Historical
Perspective
Located at the entrance of the Persian Gulf and
about 460 kms from Karachi, Gwadar has had
immense Geostrategic significance on many
accounts. The continued unstable regional
environment in the Persian Gulf in particular as
a result of the Iran/Iraq war, the Gulf war and the
emergence of the new Central Asian States has
added to this importance. Considering the Geoeconomic imperative of the regional changes,
the ADBs Ports Master Plan studies considered
an alternate to the Persian Gulf Ports to capture
the transit trade of the Central Asian Republic
(CAR) as well as the trans-shipment trade of the
region. Both Karachi and PQA were considered
for such development but were found
unattractive to major shipping lines due to the
remoteness from the main shipping routes, the
limitations of draft for mother ships and large
bulk oil carriers and the comparative long turn
around times. The ADB studies, however
considered Gwadar to have the most
advantageous location for such an alternative
port in the region, which could handle mother
ships and large oil tankers in due course.
Keeping that aspect in view as well as the
inherent strategic and economic benefits that