Business

KCCI pledges to resolve transporters’ issues

KARACHI (Staff Report) The Karachi Chamber of Commerce and Industry (KCCI) has urged goods transporters to consult the Chamber before announcing any strike, assuring that it will take up their long-standing grievances with the federal and Sindh governments to avoid disruption in the movement of goods.

The assurance was given by KCCI President Talat Mahmood during a meeting with a delegation of the Local Goods Transporters Alliance (LGTA) and other transport associations at the Chamber House on Tuesday.

Mahmood said that abrupt strikes by transporters halt supply chains, shut down factories, and damage Karachi’s industrial productivity. He advised transporters to first bring their issues to KCCI so the Chamber can engage the relevant authorities, facilitate negotiations and seek a resolution without disrupting trade.

“We will stand firmly with transporters wherever they face injustice. But strikes should be the last option, not the first. Come to us before announcing a strike, we will fight your case with the government,” he said.

He said rising transportation costs, excessive traffic fines, inadequate port parking and deteriorating roads were not just transporters’ problems but were adversely affecting industrial productivity, business competitiveness and the overall cost of doing business in Pakistan.

The meeting was attended by Chairman LGTA Malik Khalid Awan, President LGTA Muhammad Ramzan, Vice President LGTA Haji Jamshed Tahir, Vice President LGTA Muhammad Usman, Chairman All Pakistan Oil Tankers Owners Association (APOTOA) Gul Faraz Khan Jadoon, Vice Chairman APOTOA Khanzada Mehsood, Chairman All Karachi Floor Mills Transporters Association Jehangir Khan Niazi, President Karachi Waste Transport Association (KWTA) Malik Shareef Awan, Senior Vice President KCCI Aslam Pakhali, Vice President KCCI Atif Jamil ur Rahman and other representatives.

Fuel Costs, Tyres and Tolls

Highlighting the impact of rising diesel prices and freight charges, President KCCI noted that escalating fuel and transportation costs were placing an additional burden on industries already struggling with high operating expenses.

Vice Chairman APOTOA Khanzada Mehsood painted a grim picture of the sector’s financial viability. He said diesel prices had crossed Rs400 per litre, the cost of a pair of tyres had risen from approximately Rs70,000-75,000 to Rs180,000, and toll charges had increased substantially, while freight rates and overall business activity remained depressed.

“Transporters are increasingly unable to cover drivers’ salaries, vehicle maintenance and other essential expenses. If this continues, many will be forced to park their vehicles,” he warned.

President KCCI warned that continued cost escalation could force businesses to curtail production or shut down, undermining Pakistan’s regional competitiveness, particularly against regional players like Bangladesh, India and Vietnam where logistics costs are lower.

He called for immediate government relief from soaring diesel prices, rationalisation of excessive traffic fines while ensuring uniform enforcement of traffic laws, and resolution of heavy-vehicle licensing issues and third-party insurance requirements.

Port Congestion and Parking Crisis

A major issue raised in the meeting was the lack of designated truck and trailer parking near Karachi’s two ports – Karachi Port Trust (KPT) and Port Qasim.

Talat Mahmood stressed the urgent need for dedicated parking facilities, proposing that suitable government-owned land be developed as a dedicated parking facility against reasonable charges to reduce congestion and facilitate smoother movement of goods.

Currently, thousands of trailers and oil tankers are parked on main roads, particularly in Keamari, Shireen Jinnah Colony, Hawksbay Road and Port Qasim Industrial Area, causing severe traffic jams and accidents.

Chairman LGTA Malik Khalid Awan said transporters play a vital role in the supply chain by safely moving goods between factories, mills and warehouses, but frequently face administrative hurdles, port congestion and poor road conditions.

He expressed confidence that the transport sector’s representation in the Chamber’s elected team through LGTA Vice President Muhammad Usman would strengthen coordination and ensure more effective follow-up.

Ghaghar Phatak Bridge – A Rs8,000 Detour

Drawing particular attention to the damaged bridge near Ghaghar Phatak, Khanzada Mehsood said its prolonged closure was forcing vehicles serving the surrounding industrial area and Port Qasim to take lengthy diversions.

He said the detour was adding an estimated Rs7,000 to Rs8,000 per vehicle in extra transportation costs due to additional fuel and time. He urged KCCI to intervene with the relevant Port Qasim authorities for immediate repairs, stressing that such avoidable expenses ultimately increase freight rates and burden industrial consumers.

On Karachi’s deteriorating infrastructure, Talat Mahmood said damaged roads, potholes, incomplete utility works and inadequate traffic management were increasing vehicle maintenance expenses, causing delays and endangering road users.

He assured the delegation that KCCI would press the relevant authorities for road repairs, improved infrastructure and urgent restoration of the Ghaghar Phatak bridge.

Concluding the meeting, President KCCI reiterated the Chamber’s commitment to working closely with transport associations and relevant government departments. He stressed that efficient transportation, functional roads and adequate port facilities were essential for Karachi’s industrial and commercial growth, adding that sustained consultation and timely government action were necessary to reduce logistics costs and ensure uninterrupted movement of goods.

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