Executive in Action: Captain Raffat Zaheer, Honorary Secretary of the International Multimodal Transport Association

By Wendy Laursen

Captain Raffat Zaheer is speaking out on the welfare of seafarers confronted with the threat of piracy. It is a problem that is holding his native Pakistan back at a time when the country’s economy is in a dire state.

Pakistan was once touted as an example of economic progress in the developing world. However, one commentator recently described the current economic situation as “anemic, hobbled by a low savings rate, weak tax structure, low investment in human capital, and a fraught political climate.” Zaheer agrees that the economy desperately needs support from all sectors, including maritime, for which the country is uniquely positioned. Pakistan provides access to the sea for Afghanistan and other central Asian states. Those countries trade through Pakistani ports and therefore generate substantial transportation earnings for the country.

“The contribution of the maritime sector at normal times is not significant, but it becomes particularly important in the current time of economic difficulty. Sea transport provides an opportunity for employment for a large number of Pakistani seafarers, most of whom remit back their foreign exchange wages earned when working on foreign-flag vessels. This makes a significant contribution to our economy,” he stated.

The Threat of Piracy

Piracy is placing that at risk as it is having a profound effect on Pakistani seafarers. “If the international community fails to appropriately address the threats of maritime piracy and armed robbery and make it a top priority, there is significant risk that in the future a large number of seafarers will refuse to sail on ships passing through pirate-infested waters. This will result in increased costs for sea transportation and cause disruption of the smooth and efficient movement of world trade as shipowners will struggle to find enough seafarers to properly crew their vessels for voyages to certain ports of the world and will have to pay significant premiums to hire them,” says Zaheer. He emphasizes that piracy is not just a problem off Somalia. It is also a problem in the western Indian Ocean, the Gulf of Guinea, the South China Sea and elsewhere.

Some excellent initiatives have been launched recently aimed at mitigating the effects of piracy, and they deserve the support of all of the industry, says Zaheer. These initiatives include the Maritime Piracy Humanitarian Response Program, the Save our Seafarers campaign and the International Seafarers Assistance Network. “These initiatives have primarily been promoted and publicized in the U.S., Europe and other parts of the Western Hemisphere. Many international seafarers and shipping companies have little or no awareness of these initiatives and what support is available to them,” he adds.

Public vs. Private Ownership

Pakistani seafarers have earned a high reputation internationally, but opportunity is limited at home. “Most critics would say that the nationalization of shipping in 1974 was a disaster for Pakistan,” says Zaheer. “I personally support this point of view and would submit that shipping is best run as a private-sector enterprise and vessels operated under the private sector are more efficient and cost-effective than when under public-sector control.”

Pakistan today has a much smaller fleet than at the time of nationalization. It consists primarily of bulk carriers and crude oil tankers. Large container ships have been eliminated, so foreign exchange earnings from shipping are reduced. “It is estimated that 95 percent of Pakistan’s export cargo is carried by foreign flags, causing a substantial drain on the economy,” says Zaheer. This makes the promotion of sea transport in Pakistan very important indeed.

Zaheer has been in the industry for over 50 years and has experienced both regimes. He represented the National Shipping Line of Pakistan between 1972 and 1987 and was responsible for introducing intermodal services, streamlining liner services and improving the operational efficiency of the fleet. He then became Chief Executive of Panglobe Maritime in Hong Kong and, following a number of other senior appointments, he became a practicing transport consultant and Chairman of Zarghoon Maritime Enterprise, a multimodal transport company.

As Honorary Secretary and Pakistan country representative for the International Multimodal Transport Association of Geneva, he supports the organization’s goal to act as a catalyst for the exchange of ideas on modern trade and multimodal transport technologies and logistics. He has organized events covering both operational and legal issues and continues to petition the industry on the needs of seafarers in the face of piracy. – MarEx 

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Wendy Laursen can be reached at [email protected] for comments or questions.