Economic Paralysis Grips Pakistan as Highway Blockade Disrupts Supply Chain

Economic operations across Pakistan were brought to a standstill on Wednesday as a week-long blockade of the National Highway in Sindh severely hampered commercial transport, causing a widespread disruption to the nation’s supply chain.

The Sindh National Highway became impassable due to extensive demonstrations organized by lawyers’ associations, supported by nationalist groups and civil society organizations. The core grievance fueling these protests is the opposition to the federal government’s contentious proposal to develop six new canals drawing from the Indus River.

Various trade organizations, such as the Overseas Investors Chamber of Commerce and Industry (OICCI), the United Business Group (UBG), and the Karachi Chamber of Commerce and Industry (KCCI), have urgently requested government intervention to reinstate economic stability.

The blockade, primarily affecting areas near Sukkur and Khairpur, has left more than 3,500 vehicles stranded, many carrying export shipments, fuel tankers, and perishable commodities.

Businesses are facing increasing deficits, with supply routes connecting Karachi ports to inland locations being obstructed. Furthermore, exporters have cautioned about potential deadline failures and harm to global reputation.

The OICCI, representing significant foreign investors, has cautioned about substantial economic consequences, noting that the disruption has strained crucial supply chain connections. The chamber has pressed both Sindh and federal authorities to act promptly, stressing that uninterrupted commerce is vital for protecting Pakistan’s economic strength and export capabilities.

Khalid Tawab, Regional Chairman of UBG, directly appealed to Prime Minister Shehbaz Sharif for immediate intervention. Drawing attention to the immobilization of more than 800 tank lorries, Tawab warned that fuel deficiencies could soon affect northern regions.

He stated, “If this is not resolved quickly, it will seriously impair our exports, imports, and internal logistics,” while urging both federal and provincial governments to secure the safe transit of goods.

KCCI President Jawed Bilwani shared similar views, noting that sustained road blockades are resulting in “significant losses” for the business sector.

He stated that the national supply chain is “paralyzed,” with trucks halted at major congestion points, including Rohri and Ali Wahan.

He emphasized that Pakistan’s export reliability is at risk, urging the government to engage in discussions with protest leaders and prioritize the resumption of economic activities.