Logistics industry facing $36 billion losses due to offline trade

Pakistan’s logistics industry is facing annual losses of approximately $36 billion due to offline trade, which is also contributing to the loss of two to three million jobs in the sector. These concerns were highlighted by experts during the Pakistan Logistics and Shipping Summit 2025, held at a local hotel in Karachi on Thursday. Industry leaders emphasized that real-time solutions, including processing, tracking, and other digital facilities, are the only way to tap into growth opportunities and compete with the developed world.

While government processes have become nearly real-time, a significant gap remains, with approximately 70% of private sector activities, including those of freight forwarders and related service providers, still relying on outdated, manual methods.

Experts highlighted various issues linked to foreign trade, noting that only 40% of imported containers return as exports from Pakistan, indicating a serious imbalance in trade.

At the summit, industry leaders, government officials, and private-sector innovators gathered under one overarching theme: technology is the key to transforming Pakistan’s cross-border trade. The event’s keynote speeches and panel discussions made it unequivocally clear that the government is now fully backing public-private partnerships to build trust and enhance the nation’s trade efficiency.

According to keynote speaker Asif Pervez, Founder and CEO of Galaxefi Solutions, initiatives such as Digital Pakistan, Uraan Pakistan, and Pakistan Single Window (PSW) have laid a robust foundation for modernization. PSW, in particular, has digitized over 70 government agencies, streamlining customs, licensing, and regulatory processes that previously hindered trade operations.