SME Exporters Face Ruin as Nationwide Transport Strike Paralyzes Trade

Small and Medium Enterprise (SME) exporters are confronting severe financial ruin as a nationwide transport strike has paralyzed exports, threatening the peak season for perishable goods like Kinnow and prompting an urgent appeal to the government for immediate intervention.

The Union of Small and Medium Enterprises (UNISAME) today called on Haroon Akhtar, Special Assistant to the Prime Minister, to initiate emergency negotiations with transporter associations to resolve the escalating crisis. The union is advocating for the transporters” legitimate grievances to be addressed, which include the removal of operational impediments, an end to harassment, a reduction in exorbitant charges, and the streamlining of licensing procedures.

UNISAME President Zulfikar Thaver emphasized that the industrial action has inflicted maximum damage on SME exporters, who cannot withstand a prolonged shutdown. He detailed the consequences, including expired contracts, blocked finances, substantial monetary losses, and significant reputational harm from failing to meet commercial obligations.

Thaver noted that this disruption compounds existing hardships for SMEs, which are already recovering from the shutdown of trade with Afghanistan and Central Asian nations, alongside a steep decline in exports to Russia following the war in Ukraine.

Hussain Ratnani, Convener of Logistics, formally requested the SAPM to convene a high-level meeting involving affected SME exporters from the fruit, rice, commodity, and textile sectors, alongside transporter representatives. He also urged the participation of the Small and Medium Enterprises Development Authority (SMEDA) to help mediate a fair and amicable solution.

While acknowledging the transporters” issues, Ratnani pointed to shared responsibility for the breakdown. He cited the “rough and rude” conduct of government officers and police towards drivers as a significant factor. Concurrently, he stated that transporters must correct their own “outlook of neglecting and disrespecting regulations.”

The timing of the strike has drawn sharp criticism, with Ratnani describing it as an act of “blackmail” and “unbusinesslike conduct.” He stressed the extreme urgency of the situation, as it coincides with the peak export season for Kinnow, a perishable fruit that generates considerable foreign exchange for the country.

The effects of the logistics standstill are reverberating throughout the national economy, which relies heavily on transport. The disruption has left importers, traders, and merchants in turmoil, with each passing day magnifying the economic damage. Furthermore, the protest has created a dire situation for drivers and daily wage laborers, whose livelihoods depend on daily earnings and who are now in desperate need of relief.