National Logistics Corporation (NLC) and DP World have signed a $400 million agreement with Pakistan Railways to begin work on Phase-1 of the Dedicated Freight Corridor at Pipri, near Karachi.
The project is a major step toward improving Pakistan’s transport system. Once completed, it will reduce heavy traffic on roads and make the movement of cargo from Karachi Port much faster and more efficient. This will not only save time but also lower transportation costs for businesses.
Officials say the project will modernize freight transport in Pakistan by shifting large volumes of goods from trucks to trains. This shift is expected to improve logistics, ease pressure on highways, and help reduce accidents and road damage caused by heavy vehicles.
For Pakistan Railways, the initiative is seen as a financial boost. Revenue will come from freight charges, track access fees, and a revenue-sharing model with private partners. This will strengthen the organization’s financial stability and encourage further investment in railway infrastructure.
The agreement also represents a significant inflow of foreign direct investment (FDI) into Pakistan. Experts believe this partnership will bring modern technology, international expertise, and new job opportunities, creating long-term benefits for the economy.
The signing of this deal is being hailed as a milestone in Pakistan’s transport and logistics sector, showing a move toward modern infrastructure and international collaboration. With Phase-1 underway, Pakistan is positioning itself to handle growing trade volumes more effectively, while also reducing dependence on traditional road transport.
This development highlights the government’s focus on sustainable, efficient, and modern freight solutions for the country’s future.
