Karachi suffers Rs10bn single-day loss
PAKISTAN - 4 AUGUST 2010
KARACHI: Production in majority of the industrial areas came to a grinding halt and all markets and shopping centres remained completely closed on Tuesday following the killing of MPA Syed Raza Haider of the Muttahida Qaumi Movement on Monday.
Industrialists and businessmen offered different estimates on one-day loss which ran into billions of rupees.
About 80-90 per cent workers could not reach to their industrial units as public transport remained completely off the roads while many people having their own transport also did not take the risk. Even workers living in the vicinity of industrial estates stayed at home in view of lingering violence in the city. Even the shops located inside the residential areas were also closed.
The supply chain from the industrial areas to wholesale markets and to retail markets from main wholesale bazaars were paralyzed till the evening.
Karachi Chamber of Commerce and Industry President Abdul Majid Haji Mohammad told Dawn that The city has suffered Rs10 billion single-day loss in view of production losses, suspension in sales and exports, demurrage at ports on imported goods, loss of perishable goods, daily wage earners, non-salary disbursement, transportation of goods, non plying of public transport, sale losses to shop owners and government revenues. He added that there were many invisible losses also.
All Karachi Tajir Ittehad (AKTI) Chairman Atiq Mir was of the view that during the last one month the traders had suffered a loss of Rs10 billion due to closure of markets due to violence, arson of shops etc.
He said in case the situation did not improve in the next two days the life of two million daily wage earners would severely be affected. Around 3.5 million salaried class people working in different private jobs, industrial units, shops etc., have still not drawn their salaries, he added.
He said that many traders and manufactures were expecting huge orders from upcountry for upcoming Eidul Fitr but in case the tense situation prevails they would lose these orders.
Due to suspension in container movement, no export shipments could be made causing huge losses to the exporters for not meeting the shipment deadlines.
Korangi Association of Trade and Industry Chairman Razzak Hashim Paracha said that less than 10 per cent workers and staffers marked their attendance despite the fact that 80 per cent labour and workers live in the surrounding areas.
Daily production of various goods in Korangi industrial area is estimated at Rs2.75 billion but in view of thin attendance only 10-20 per cent production is recorded, he said.
KATI has a total of 4,500 units in which 60 per cent are export-oriented units. He said exports had suffered heavily due to suspension in container movement.
Chairman North Karachi Association of Trade and Industry (NKATI) Sadiq Mohammad said that majority of the workers, which live in surrounding areas, did not turn up in view of rising insecurity.
He said half of 45,000-50,000 workers mostly employed in 2,000 small and medium units earned their livelihood on daily wages while the rest was on contractual and permanent basis. Around 70 per cent are export-oriented units.
Almost all the units were closed and no production was recorded, he claimed and added that even factory owners also stayed at their homes.
Acting chairman of Site Association of Industry (SAI) Ahsan Arshad Ayub said that 60-70 per cent industries out of 3,500 units were remained completely closed. He said about 80 per cent were export-related industries whose shipments failed to reach the ports.
Around 600,000-700,000 people work in the Site industrial area in which 80 per cent are on daily wages. Chairman F.B. Area Association of Trade and Industry (FBATI) Shahid Ismail said that 80-90 per cent of the industries were shut as labour could not turn up for want of public transport.
The F.B. Area has over 2,000 units in which 150,000-200,000 people are working on daily wages, contract and permanent basis.
Some workers who could not return to their homes on Monday evening were asked to run the units but they were very limited in numbers. He added that the workforce arrive in the industrial units from all parts of the city.
About 80-90 per cent workers could not reach to their industrial units as public transport remained completely off the roads while many people having their own transport also did not take the risk.
Source: DAWN News
PAKISTAN - 4 AUGUST 2010
KARACHI: Production in majority of the industrial areas came to a grinding halt and all markets and shopping centres remained completely closed on Tuesday following the killing of MPA Syed Raza Haider of the Muttahida Qaumi Movement on Monday.
Industrialists and businessmen offered different estimates on one-day loss which ran into billions of rupees.
About 80-90 per cent workers could not reach to their industrial units as public transport remained completely off the roads while many people having their own transport also did not take the risk. Even workers living in the vicinity of industrial estates stayed at home in view of lingering violence in the city. Even the shops located inside the residential areas were also closed.
The supply chain from the industrial areas to wholesale markets and to retail markets from main wholesale bazaars were paralyzed till the evening.
Karachi Chamber of Commerce and Industry President Abdul Majid Haji Mohammad told Dawn that The city has suffered Rs10 billion single-day loss in view of production losses, suspension in sales and exports, demurrage at ports on imported goods, loss of perishable goods, daily wage earners, non-salary disbursement, transportation of goods, non plying of public transport, sale losses to shop owners and government revenues. He added that there were many invisible losses also.
All Karachi Tajir Ittehad (AKTI) Chairman Atiq Mir was of the view that during the last one month the traders had suffered a loss of Rs10 billion due to closure of markets due to violence, arson of shops etc.
He said in case the situation did not improve in the next two days the life of two million daily wage earners would severely be affected. Around 3.5 million salaried class people working in different private jobs, industrial units, shops etc., have still not drawn their salaries, he added.
He said that many traders and manufactures were expecting huge orders from upcountry for upcoming Eidul Fitr but in case the tense situation prevails they would lose these orders.
Due to suspension in container movement, no export shipments could be made causing huge losses to the exporters for not meeting the shipment deadlines.
Korangi Association of Trade and Industry Chairman Razzak Hashim Paracha said that less than 10 per cent workers and staffers marked their attendance despite the fact that 80 per cent labour and workers live in the surrounding areas.
Daily production of various goods in Korangi industrial area is estimated at Rs2.75 billion but in view of thin attendance only 10-20 per cent production is recorded, he said.
KATI has a total of 4,500 units in which 60 per cent are export-oriented units. He said exports had suffered heavily due to suspension in container movement.
Chairman North Karachi Association of Trade and Industry (NKATI) Sadiq Mohammad said that majority of the workers, which live in surrounding areas, did not turn up in view of rising insecurity.
He said half of 45,000-50,000 workers mostly employed in 2,000 small and medium units earned their livelihood on daily wages while the rest was on contractual and permanent basis. Around 70 per cent are export-oriented units.
Almost all the units were closed and no production was recorded, he claimed and added that even factory owners also stayed at their homes.
Acting chairman of Site Association of Industry (SAI) Ahsan Arshad Ayub said that 60-70 per cent industries out of 3,500 units were remained completely closed. He said about 80 per cent were export-related industries whose shipments failed to reach the ports.
Around 600,000-700,000 people work in the Site industrial area in which 80 per cent are on daily wages. Chairman F.B. Area Association of Trade and Industry (FBATI) Shahid Ismail said that 80-90 per cent of the industries were shut as labour could not turn up for want of public transport.
The F.B. Area has over 2,000 units in which 150,000-200,000 people are working on daily wages, contract and permanent basis.
Some workers who could not return to their homes on Monday evening were asked to run the units but they were very limited in numbers. He added that the workforce arrive in the industrial units from all parts of the city.
About 80-90 per cent workers could not reach to their industrial units as public transport remained completely off the roads while many people having their own transport also did not take the risk.
Source: DAWN News
