APTMA Appeals to PM for Intervention Amid Cargo Disruptions

ISLAMABAD: The All Pakistan Textile Mills Association (Aptma) has urgently requested Prime Minister Shehbaz Sharif’s involvement to resolve the highway blockages and restore the flow of cargo for import and export shipments, which have been stalled since April 19, 2025.

During a press briefing, Aptma Chairman Kamran Arshad highlighted the critical nature of the situation. He stated that over 25,000 export containers are currently stranded across Sindh, unable to reach ports due to widespread interruptions in cargo movement. Additionally, approximately 50,000 containers containing imported goods, raw materials, and other crucial supplies are held up due to extensive road closures within the province.

Arshad cautioned that even with the immediate reopening of routes, it could take as long as 25 days to clear the existing backlog, which would further delay vital exports and manufacturing inputs. He emphasized, “This represents a significant national crisis that requires prompt action.”

He further explained that the disrupted supply chain is severely impacting industrial activities, jeopardizing export commitments, reducing production levels, and potentially leading to economic losses amounting to hundreds of millions of dollars.

“This crisis is seriously damaging Pakistan’s reputation in international markets and poses a substantial risk to the economy,” Arshad stated, appealing to Prime Minister Shehbaz Sharif, Sindh Chief Minister Murad Ali Shah, and PPP Chairman Bilawal Bhutto Zardari for their immediate personal involvement.

Arshad also drew attention to structural problems within the Export Facilitation Scheme (EFS), pointing out a damaging imbalance. While imports continue to benefit from duty- and tax-free treatment, sales tax exemptions on local supplies have been revoked. According to him, this has significantly weakened the domestic textile sector.

“The spinning industry and cotton farming are particularly affected,” he noted, revealing that approximately 120 spinning mills, accounting for 20–25% of total yarn production, along with over 800 ginning factories, have already ceased operations. Many of the remaining mills are operating at only 50% capacity and are at risk of imminent closure.

“If this situation persists, local cotton will have no buyers, leaving cotton farmers impoverished and resulting in massive job losses,” he warned.

Arshad also warned that the current policy disparity is compelling exporters to depend on imported raw materials, which weakens domestic industries and puts pressure on rural economies. He added that the consequences extend beyond the textile industry, impacting the livelihoods of millions.

APTMA has urged the government to reinstate the EFS to its June 30, 2024 status by reestablishing zero-rating and sales tax exemptions on local supplies. As an alternative, the association proposed imposing equivalent taxation on imports to ensure a level playing field. Arshad also recommended excluding yarn and cloth imports under the EFS to safeguard local manufacturers.

Aptma Chairman-North Asad Shafi, speaking at the press conference, added that numerous export orders have been cancelled due to the logistical disruptions in Sindh. He cautioned that international buyers are seeking alternative suppliers, which could lead to a long-term loss of business.

“If this situation continues, Pakistan faces a significant risk of deindustrialization and a substantial decrease in export revenues,” Shafi stated, calling for immediate corrective actions.

Leading exporters, including Ahmad Shafi, Anjum Zafar, Ali Ahsan, and Ahsan Shahid, echoed these concerns, warning that the suspension of cargo movement has already severely affected export operations and could result in irreversible economic losses if not promptly addressed.