Goods transporters' strike has put billions of rupees export orders on stake. It would not only result in huge losses to the exporters, but also to the national exchequer. If the strike prolongs, this could engender cancellation of vital export orders.
Commenting over the prevailing serious situation, here on Tuesday, Chairman Pakistan Textile Exporters Association Ajmal Farooq apprehended that huge foreign orders are feared to be cancelled due to the strike, this would result in huge loss of exporters and the economy as well.
A large number of export shipments ready to be shipped as per the deadline given by the foreign buyers, would not reach the ports in time, resulting in the vessel sailing away without the consignment, he added. If the strike prolongs further, this would lead to great loss to the exporters, fearing cancellation of vital orders, he warned. Entire textile chain is facing immense problems and economic activities have come to a halt in export sector, he said adding that the goods transport carriers strike has ceased business activities as the goods are not reaching the ports.
Our trade deficit has already reached at the highest and national debt is also on the hike, our economy couldn't bear the strikes. If the situation would continue, our exports could fall horribly, he apprehended. Transports strike not only hit industrial production but also affected fulfilling export commitments and shipment of goods on time. We have raw material in stores to continue product for next few days and if the goods transporters strike prolong, it will create severe difficulties, he added. National economy relies heavily on textile exports and a crisis like situation is posing serious threat to the viability of the industry. The industry is not able to meet international commitments and failure to perform will lead to disputes, loss of valued customers, loss of market share as well as damaging Pakistan's reputation as a reliable supplier, he said.
Vice Chairman PTEA Muhammad Naeem was of the view that that goods transport carriers strike would not only hurt shipments of export consignments but would also disturbed import business as importers would be forced to pay demurrages for not clearing their consignments from the ports. Furthermore, the strike also effect manufacturing activities as industrial units will not receive raw materials and fuel to run their mills, resulting in heavy financial loss.
PTEA urged the provincial and federal Governments to intervene immediately and resolve the issue of transporters without any delay. If the strike will not to be called off, the exporters will have to face huge financial losses for shipping their goods by air to fulfill their commitments or lose their hard earned export contracts.
Meanwhile, Muhammad Amjad Khawaja Senior Vice Chairman Pakistan Hosiery Manufacturers and Exporters Association (North Zone) expressed grave concern over the Stuck up of large numbers of export consignments at Karachi Port due to the week long strike of transporters, which is causing heavy losses to the exporters as well as to the national exchequer.
Talking to newsmen, he said that transporters are on strike for the last 8th days. But unfortunately the government failed to resolve their genuine issues and grievances in time that forced them to continue their strike. SV Chairman Pakistan Hosiery Manufacturers and Exporters Association said that despite of the most discouraging economic policy environment within the country, the exporters are making strenuous efforts to earn precious foreign exchange in addition to providing much needed job to the unemployed youth. The exporters who produced export shipments after painstaking struggle are left helpless to deliver them to shipping companies in time resulting either the cancellation of the export orders or conversion of sea freight to air freight shipments at their own expenses. In both cases they face heavy financial losses as well as loss of credibility. He urged upon the government to take up this issue seriously so that chain of shipping logistics is restored.
Muhammad Amjad Khawaja further said that while the Prime Minister and federal minister are making efforts to enhance the exports to earn more foreign exchange for the country, this situation directly disturb export transactions and result failure of Prime Minister Vision. He further said that strike should now come to an immediate end as its continuity will create shortage of raw material as well as other commodities within the country.
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