The government has decided to allow Pakistan Railways to establish a new dry port, on the basis of public-private partnership (PPP) at Prem Nagar, near Raiwind, sources close to FBR Chairman told Business Recorder.

They said that it has been the demand of not only Sundar industrialists but also of a number of other industries situated in Raiwind, including Manga corridor, that a dry port should be established in their vicinity.Prime Minister Secretariat (Public),Islamabad's U O No 4(17)DS(E-I-II)/07 also requested FBR for establishment of a fully equipped dry port, either in Jia Bagga or Raiwind.

In this respect, the Ministry of Railways, in 2008, had said that Pakistan Railways was establishing a dry port/inland container depot on the basis of PPP with Premier Mercantile Service (Pvt) Ltd (PMS) and Qasim International Container Terminal Pakistan Ltd (QICT) at Prem Nagar near Raiwind. For this purpose, a piece of land, measuring 100 acres, had been handed over to joint venture partners on 35-year lease agreement signed on July 25, 2008. The earth work as well as provision of other related facilities is under process. It could not be ascertained whether PPRA Rules, 204 have been followed by Pakistan Railways in allocation of land to the joint venture or not.

The project, according to the Ministry, was approved by CDWP in its meeting on May 17, 2007. The Ministry of Railways communicated on April 25, 2011 that the work at Prem Nagar dry port had been completed in all respects. This has now been verified by Customs, Lahore. In the light of availability of required infrastructure, Land Customs Station/dry port at Prem Nagar, District Kasur on Lahore-Sahiwal section, is ready to be operationalised.The Federal Board of Revenue proposes to establish a new dry port by Pakistan Railways on the basis of PPP at Prem Nagar near Raiwind, subject to fulfillment of all applicable conditions in this regard.

An officer may also be nominated to coordinate with Pakistan Railways and joint venture partners for the assessment of various requirements of customs department and other formalities as per customs rule and regulations,