DP World, Pakistan Railways, NLC break ground on Pipri Freight Corridor to boost cargo connectivity

DP World, Pakistan Railways and National Logistics Corporation (NLC) have begun construction on the Dedicated Freight Corridor and Multimodal Logistics Park at Pipri, following a groundbreaking ceremony held at the site.

The project is designed to strengthen cargo connectivity between Karachi’s ports and Pakistan’s inland markets by shifting container movements from road to rail.

The ceremony was attended by 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, ports and terminals. The joint venture will develop an integrated rail-and-logistics hub to improve cargo velocity, reliability and efficiency for import and export flows.

The first phase includes the rehabilitation of a 52-kilometre rail corridor connecting Karachi Port to the Marshalling Yard at Pipri, alongside the development of a state-of-the-art multimodal logistics park. The Pipri facility will integrate rail, road and port operations into a single, efficient logistics hub. It will offer a comprehensive range of integrated services, including warehousing, stuffing and de-stuffing, cargo consolidation and value-added logistics solutions. Phase one is targeted for completion within four months.

Once operational, the facility is expected to significantly decongest Karachi’s ports, divert heavy container traffic away from city roads, reduce logistics costs and transit times, lower carbon emissions, and extend the lifespan of critical road infrastructure.

Containers arriving at Karachi will be transported directly by rail to Pipri, from where cargo will be dispatched via rail and road to further destinations in 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 consolidating cargo handling at Pipri, the project is expected to reduce truck congestion in Karachi, Pakistan’s largest city, and improve turnaround times across the supply chain.

Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World, said, “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 collaboration between DP World, NLC and Pakistan Railways was formalised through the signing of a Term Sheet in January 2025, followed by a commercial agreement in the fourth quarter of 2025. Construction marks the next step in DP World’s continued investment in trade-enabling infrastructure in the region.

With construction underway, the project marks a significant milestone in the modernisation of Pakistan’s logistics ecosystem and reinforces DP World’s role as a strategic partner in advancing trade-enabling infrastructure in the country. The development is expected to support regional trade corridors by improving connectivity from Pakistan’s ports to inland and cross-border markets.

 WAM