KARACHI: Industries across Pakistan are facing critical production disruptions as thousands of tons of petrochemical containers remain detained at Karachi Port.
The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Atif Ikram Sheikh attributed the crisis to amendments made to the Petroleum Act 1934 in 2023, leaving importers burdened with excessive demurrage and detention charges.
At a press conference held at Federation House on Saturday, Sheikh urged the government to immediately release the detained raw materials to prevent further economic damage. Highlighting the issue, Sheikh criticized the Ministry of Petroleum’s directive from September 2023, which halted the clearance of petrochemical shipments. “Importers and industries are incurring thousands of dollars in additional charges due to these delays,” he emphasized.
FPCCI Senior Vice President Saquib Fayyaz Magoon warned of severe consequences for industries, revealing that 20,000 to 30,000 tons of petrochemicals remain halted at the port, tripling production costs. “It takes two months to receive fresh materials, and industries are on the brink of closure,” he added.
Magoon also criticized the misinterpretation of the Petroleum Act 1934, stating it has led to unnecessary complications for importers.
Prominent figures including Aman Paracha, Asif Inam, Nasir Khan, Pakistan Tanners Association Chairman Hamid Arshad, Khalid Tawab, Mian Zahid Hussain, and Shakeel Dhingra joined the conference to voice their concerns. The FPCCI leadership collectively demanded the immediate release of the detained consignments and called for a comprehensive petrochemical import policy, developed in consultation with stakeholders.
They warned that further delays would deepen the crisis, hurt exports, and push industries closer to closure.
