Goods transporters have announced a 7% increase in freight rates, citing a sharp rise in fuel prices over the past week. The move could increase transportation costs and put further pressure on prices of essential goods across Pakistan.

All Pakistan Goods Transport Alliance President Malik Shehzad Awan said diesel prices had increased by Rs26.88 per litre during the last seven days. He added that petrol prices had also risen by Rs20 per litre during the same period.

Fuel costs drive decision

Malik Shehzad Awan said the increase in petrol and diesel prices had made a freight hike unavoidable. Transporters have repeatedly raised concerns about rising fuel costs and their impact on the trucking sector.

Earlier this month, goods transporters had announced a 5% freight increase after another round of fuel price increases. They had also warned of possible further action if their demands were not addressed.

The latest announcement comes as Pakistan continues to face volatility in fuel prices. From September 18, petrol was set at Rs390.79 per litre, while high-speed diesel increased to Rs424.92 per litre.

Essential items may become costlier

Higher freight charges can affect the transportation cost of food, agricultural products and other essential items. Traders and consumers may therefore face additional pressure if increased transport costs are passed on through supply chains.

Transporters say the latest increase is linked directly to higher fuel expenses, while the impact on market prices will depend on how much of the additional transportation cost is passed on to consumers.