Goods transporters’ strike ends, but millions in losses reported

Approximately 20,000 to 25,000 export containers were unable to reach the port, with clearing the backlog expected to take 20 to 25 days

KARACHI: A four-day strike by goods transporters, which concluded early on Saturday, severely disrupted trade and port operations, causing millions in losses due to delayed shipments and backlogs of imported containers.

The Karachi Chamber of Commerce and Industry (KCCI) estimates traders incurred around Rs120 million in terminal demurrage charges on 12,000 containers stuck at various terminals during the strike.

Approximately 20,000 to 25,000 export containers were unable to reach the port, with clearing the backlog expected to take 20 to 25 days. KCCI President Jawed Bilwani advised business owners to only hire goods carriers with valid licenses and fitness certificates, adding that transporters had doubled their fares during the disruption.

The strike also led to major losses for exporters of perishable goods. Waheed Ahmed, patron-in-chief of the All Pakistan Fruit and Vegetables Merchants, Exporters and Importers Association, reported around 400 containers carrying perishable produce were stranded, with losses estimated between $300,000 and $400,000 due to limited refrigeration capacity.

In addition, 200 to 250 containers, mostly carrying potatoes for the Middle East and Far East, were stuck at the Punjab-Sindh border amid protests against canal projects in parts of Sindh, raising concerns about potential spoilage.

Rice exporters also faced significant losses, with former Rice Exporters Association Chairman Rafique Suleman stating that the sector lost $16 million during the strike. He estimated the cumulative loss over the four-day period to be Rs5-6 billion, warning that delays could lead to canceled orders.

The strike was called off following a meeting between transporters and Karachi Commissioner Syed Hassan Naqvi, where transporters agreed to provide weekly reports to the DIG Traffic and to ensure that unfit vehicles do not operate. Naqvi also announced that all impounded heavy vehicles would be released immediately, except for those deemed unfit.

Tariq Gujjar, president of the Transport Goods Association, said the authorities had given transporters a six-month window to implement safety measures, including fitness certification, to reduce accidents. However, he noted that the crackdown, which began on April 12, was premature, as the original implementation date was set for May 1. Gujjar added that the strike led to daily losses of millions of rupees to traders and the economy.

Under the new agreement, transporters will submit monthly progress reports on implementing the agreed safety protocols to control accidents.

Monitoring Desk
Monitoring Desk
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