Financial Updates

The blog "FINANCIAL UPDATES" consists on exclusive economic and commerce news about across the world particularly Pakistan economy

Tuesday, April 8, 2014

ICCI for efficient logistics system to facilitate business activities

An efficient logistics system with hassle free supply chains and transport hubs is getting global importance as it plays important role in promoting the economy of a country. However, Pakistan has usually ignored developing an effective logistics system including railways & roads network due to which the country remains unsuccessful in realizing full potential of economic development while the existing state of logistics industry is far below the desired level and government should focus on developing a well-organized logistics network in the country on priority to facilitate the growth of business activities.

Shaban Khalid, President, Islamabad Chamber of Commerce & Industry said this while addressing a delegation of Islamabad Goods Forwarding Agencies and Transport Companies Welfare Association that visited ICCI led by its President Malik Muhammad Shabbir. He said our country is witnessing rapid urbanization and government should adopt a long-term proactive approach to develop logistics network that could meet the future logistics needs of business and industry.

He said the twin cities of Rawalpindi and Islamabad have experienced enough growth of population and expansion of business activities, but the logistics system has not kept pace with this expansion due to which businessmen are facing many problems in supply chain. He said approximately more than 500 cargo vehicles are entering Islamabad daily to cater to the needs of different industries and commercial activities including fruit & vegetable markets and other business areas, but due to lack of transport hub, are facing difficulties in parking heavy duty cargo vehicles. He said millions of rupees are earned by charging entry fee on cargo vehicles in Islamabad and stressed that this amount should be spent on improving logistics infrastructure. He assured the delegation members that ICCI will try to take up their issues with relevant authorities for redress.

Speaking at the occasion, Malik Muhammad Shabbir, President, Islamabad Goods Forwarding Agencies and Transport Companies Welfare Association highlighted various issues of the businessmen of this sector. He said with the passage of time, quantity and capacity of cargo vehicles is increasing, but un-availability of truck stand is a big issue. He said a parking facility should be provided in Islamabad for cargo vehicles and another one be developed in Sangjani to cope with future needs. This will decrease traffic on the roads and also facilitate smooth movement of heavy trucks inside the city.

He said the current entry procedure for cargo vehicles in Islamabad is quite complicated with cumbersome documentary requirements and urged that it should be simplified. He said during any security problems, containers are seized forcefully, but businessmen are not paid market rate due to which they suffer financial loss. He was of the view that an efficient road cargo system will play significant role in promoting business activities and government should pay urgent attention to improving its infrastructure, which will greatly help in strengthening the local economy. 

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