The ongoing transport strike in Pakistan has disrupted cargo movement all across the country. Analysts warn that if the strike continues for 10 days, economic losses could reach $1 billion. They may hit exports, raise costs, and put pressure on inflation and the current account.
Pakistan’s transport strike, which began on December 8, has started to hurt the economy, according to economists and trade bodies. The strike started after transport unions protested against stricter weight limits for trucks, higher toll taxes, and police checks on highways.
Road transport plays a key role in Pakistan. Trucks move food, fuel, factory goods, and exports between ports, industries, and markets. Due to the strike, this movement has slowed across the country.
Ahsan Mehanti, CEO of Arif Habib Commodities, said that economic losses could reach $1 billion, mainly because Karachi handles most trade and port activity.
Textile Exports Face Heavy Losses
Textile exporters say the strike has caused export losses of around $60 million per day, according to industry estimates. The textile sector earns the highest export income for Pakistan.
Kamran Arshad, chairman of the All Pakistan Textile Mills Association (APTMA), said containers remain stuck at ports and factories. Raw material does not reach mills. Finished goods do not reach ports. Traders also pay extra port charges of up to $300 per container per day.
The Pakistan Textile Exporters Association said that an eight-day shutdown alone caused about $400 million in export losses. Pakistan’s average monthly textile exports stand near $1.5 billion.
Risk to Economy and Prices
According to the Pakistan Bureau of Statistics, Pakistan’s exports fell 15% to $2.4 billion in November. From July to November, exports dropped 6%, while imports rose 13%, widening the trade gap to $15.5 billion.
Economists warn that the strike could raise prices. Supply delays can push inflation higher. The State Bank reported a $112 million current account deficit in October, compared to a surplus in September.
Some transporters ended the strike after talks with the Punjab government. Others continue protests. Business groups urge the government to resolve the issue as soon as possible to prevent further losses.
