The export of molasses from Pakistan has come to a complete standstill as transporters have gone on strike. Exporters told Business Recorder that transporters want increase in their cartage rates. In case the rates are not increased, they would not bring their trucks on roads, they said.
The government has not increased the price of diesel, and as such there is no justification for transporters to go on strike, the exporters contend.
The exporters further said that the transporters have not given any specific demands.
It may be noted that strike of transporters has become an annual feature as whenever the new season of sugarcane crushing starts the transporters start dictating their terms without any proper rationale.
Exporters believe that because of this strike the shipments of molasses would not take place in December, which is the peak period of demand from foreign buyers.
Sugar mills are also complaining as they have already started production but in view of non-lifting of molasses there is a risk of overflow of molasses from the pits in sugar mills affecting the quality of the product.
The sugar mills always contend that there should be some regulation to fix the freight rates, and in this connection, Export Promotion Bureau should play a leading role.
There is also a demand from exporters that Pakistan Railway should provide wagons to avoid the monopoly of road transporters.