Transporters’ strike brings Pakistan's export activities to a halt
Businessmen fear massive foreign orders can be cancelled
A Reuters file photo.
FAISALABAD:
Textile exporters are highly perturbed by the suspension of cargo traffic due to a countrywide strike called by goods transporters.
In a statement issued on Tuesday, the exporters regretted that the strike had caused a halt to export activities, putting export orders of millions of dollars at risk as they may not be able to meet international commitments.
They voiced fear that the failure to fulfill international commitments would lead to disputes, loss of customers and market share as well as damage Pakistan’s reputation as a reliable goods supplier.
Pakistan Textile Exporters Association (PTEA) Chairman Sohail Pasha was of the view that massive foreign orders could be cancelled due to the ongoing goods transporters’ strike, which would dent revenues of the exporters and the overall economy as well.
“A large number of export shipments, ready to be shipped as per the deadline given by the foreign buyers, may not reach seaports in time, resulting in the vessels sailing away without the consignments,” he feared. “If the strike prolongs any further, it will cause a significant loss to the exporters, who are already facing cancellation of vital orders.”
He added “we have raw material in stores to continue production for the next few days but later the strike will cause severe difficulties”.
Pasha pointed out that the national economy relied heavily on textile exports and the crisis-like situation was posing a serious threat to the viability of the industry.
PTEA Vice Chairman Haris Yousaf was of the view that the goods transporters’ strike was not only impacting shipments of export consignments but was also disturbing the import-oriented business as importers would be forced to pay demurrages for not lifting their consignments from ports.
Published in The Express Tribune, January 8th, 2020.
Textile exporters are highly perturbed by the suspension of cargo traffic due to a countrywide strike called by goods transporters.
In a statement issued on Tuesday, the exporters regretted that the strike had caused a halt to export activities, putting export orders of millions of dollars at risk as they may not be able to meet international commitments.
They voiced fear that the failure to fulfill international commitments would lead to disputes, loss of customers and market share as well as damage Pakistan’s reputation as a reliable goods supplier.
Pakistan Textile Exporters Association (PTEA) Chairman Sohail Pasha was of the view that massive foreign orders could be cancelled due to the ongoing goods transporters’ strike, which would dent revenues of the exporters and the overall economy as well.
“A large number of export shipments, ready to be shipped as per the deadline given by the foreign buyers, may not reach seaports in time, resulting in the vessels sailing away without the consignments,” he feared. “If the strike prolongs any further, it will cause a significant loss to the exporters, who are already facing cancellation of vital orders.”
He added “we have raw material in stores to continue production for the next few days but later the strike will cause severe difficulties”.
Pasha pointed out that the national economy relied heavily on textile exports and the crisis-like situation was posing a serious threat to the viability of the industry.
PTEA Vice Chairman Haris Yousaf was of the view that the goods transporters’ strike was not only impacting shipments of export consignments but was also disturbing the import-oriented business as importers would be forced to pay demurrages for not lifting their consignments from ports.
Published in The Express Tribune, January 8th, 2020.