A deepening logistics crisis triggered by road blockades in Sindh and Karachi is choking key supply chains and putting the country’s trade and manufacturing sectors at risk. The situation poses a serious risk of factory shutdowns, especially when Large-Scale Manufacturing (LSM) is already languishing at multi-year lows and employment is fragile.
The public resentment in Sindh over canal-related issues is understandable. The timing of this, however, couldn’t be worse. This year, water shortages are already looming due to below-average winter rainfall and snowfall, leading to lower water levels. Climate change has made water supply increasingly erratic in parts of Sindh. Farmers and the public are anxious. If water is scarce in bad years even without new canals, what happens when new canals are introduced?
As a result, people from all walks of life have taken to the streets. Roads have been blocked in parts of Sindh for the past 8–10 days. Exporters in upcountry regions are bearing the brunt: shipments are delayed, containers are stuck on the roads, and inventory is piling up in factories. International buyers are demanding timely delivery, or threatening to cancel orders. To meet commitments, some exporters are resorting to costly air shipments, while others are already facing cancellations.
Import disruptions are compounding the issue. Textile exporters are struggling to receive imported inputs on time, while industries that serve the domestic market may soon encounter production hiccups. If left unresolved, shortages will begin to surface, and next month’s export figures may fall short of expectations.
Simultaneously, another crisis is unfolding in Karachi. Transporters are on strike, protesting against ongoing crackdowns in the city. This strike is further disrupting trade logistics and industrial supply chains.
“This is not just a logistics crisis.It’s a national trade emergency,” said Mr. Fawad Anwar, Chairman of the Pakistan Textile Council. “PTC member companies have high-value export consignments at risk of default, and containers of imported materials stranded at ports. The financial and reputational losses could be catastrophic if swift action is not taken.”
The combined impact of the road blockages in Sindh and the Karachi transporters' strike is crippling supply chains across the country and damaging international trade. Experts estimate that roughly10,000 containers are currently blocked, leading to a shortage of containers nationwide.
Petroleum supplies may also be affected. Fortunately, excessive imports over recent months have built up inventory buffers, securing supply for the next 10–12 days. Additionally, the dualization of the White Oil Pipeline has reduced dependency on road transport for petroleum distribution.
Nonetheless, the strikes must not be ignored. For an economy already struggling with stagnating GDP growth and rising unemployment, swift and effective government intervention is critical. The twin crises must be addressed immediately to avoid long-term economic damage.
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