Goods transporters announce 5% hike in freight rates
President of the All Pakistan Goods Transport Alliance Malik Shehzad Awan criticised the latest fuel price increases and said transporters could not continue absorbing the additional costs.
He also objected to the government’s policy of frequently changing petroleum product prices, saying it was creating uncertainty for the transport sector.
Fuel price increases put pressure on transporters
Awan said diesel prices had increased by Rs20 per litre and petrol prices by Rs24 per litre over the past four days.
He added that petrol and diesel prices had already increased by up to Rs23 per litre between August 20 and September 7. According to the transporters’ alliance, repeated fuel price increases have raised the cost of operating goods vehicles across the country.
Diesel is a major expense for freight operators, and higher fuel costs directly affect the amount transporters spend on moving goods between cities. The alliance has therefore announced the 5% freight rate increase to cope with the additional financial pressure.
Transporters reject frequent fuel price changes
Awan said the government’s decision to change petroleum product prices on a daily basis was unacceptable.
He recalled that transporters had held a nationwide strike from August 8 to 17 over fuel prices and other issues affecting the sector. During negotiations, the petroleum minister had assured transporters that fuel prices would not be changed on a daily basis, according to Awan.
The transporters later suspended their strike for 40 days after receiving assurances from the federal and provincial governments. The government had also committed to addressing several outstanding concerns raised by the transport sector.
Another nationwide strike could follow
Awan has now warned that transporters could launch another nationwide strike if the government fails to honour its commitments.
He said the federal and provincial governments had sought 40 days to resolve the transporters’ issues. According to him, the deadline is due to expire next week.
The warning raises the possibility of fresh disruption to goods movement across Pakistan if negotiations fail to produce results. A nationwide strike could affect the movement of essential goods, industrial supplies and other products transported by road.
Higher freight costs may affect businesses
The 5% increase in freight rates is likely to add to transportation costs for businesses that depend on road freight.
Goods transported over long distances could become more expensive as operators pass higher fuel and operating costs on to customers. The impact could eventually be felt across supply chains, particularly if fuel prices continue to change frequently.
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Transport costs are an important part of the final price of many products because goods often travel through several locations before reaching markets and consumers. However, the actual impact of the freight increase will depend on fuel prices, transport distances and market conditions.
Government commitments remain under focus
The latest warning comes only weeks after goods transporters suspended their nationwide strike following negotiations with the government.
The government had said commitments made during the talks would be fulfilled. The transporters now want those commitments to be implemented within the agreed timeframe.
Awan said the alliance had postponed its strike for 40 days on the assurances given by the federal and provincial governments. The approaching deadline is now increasing pressure on authorities to address the transporters’ concerns.
Transport sector seeks stable fuel policy
Transporters have repeatedly called for a more predictable petroleum pricing system.
They argue that frequent changes in fuel prices make it difficult for businesses to calculate operating expenses and set freight rates. A stable pricing mechanism, according to the transport sector, would make it easier for operators to plan their costs.
The alliance has also criticised the impact of rising fuel prices on businesses and the wider economy. Recent reports have confirmed the 5% freight increase and the warning of another strike if government commitments are not implemented.
What happens next?
The coming days could be important for both the government and goods transporters.
If the outstanding issues are resolved, the threat of another nationwide strike could ease. However, if the transporters’ demands remain unresolved after the agreed deadline, the alliance may consider restarting its protest.
Any renewed strike could create challenges for the movement of goods across the country. For businesses and consumers, the main concern will be whether higher freight costs remain limited or lead to further increases in the prices of transported goods.
