KARACHI: Ismail Suttar, Founder Chairman of the Salt Manufacturers Association Pakistan (SMAP), has raised concerns about ongoing disruptions to shipping and customs operations across the Gulf Cooperation Council (GCC), highlighting that prolonged delays and rising logistics costs are threatening Pakistan's export competitiveness and affecting regional trade flows.
According to Salt Manufacturers Association of Pakistan, exporters and importers in the region face mounting challenges as delays in customs clearance, particularly at Dubai and other major GCC gateways, persist despite shipments arriving on time. Suttar pointed out that businesses are grappling with increased freight rates and growing customs processing delays, which lead to additional storage, detention, and administrative costs, inflating the landed cost of goods and creating supply chain uncertainties.
Suttar noted that while shipping companies have adjusted operations in response to geopolitical changes, the logistics environment remains fragile. Exporters are meeting their shipping schedules, but post-arrival bottlenecks continue to impact deliveries, affecting commercial planning for stakeholders across the supply chain. He also mentioned that global container carriers, such as Maersk, MSC, and CMA CGM, have not fully restored their routes through the Strait of Hormuz, leading to longer transit times, reduced schedule reliability, and increased operating costs.
Highlighting the impact on specific sectors, Suttar stated that the salt industry, in particular, has been severely affected since salt's export viability hinges on freight costs, which have now surpassed the product's value. This situation has made it difficult for salt exporters to compete internationally.
Suttar warned that ongoing disruptions are complicating inventory management, extending cash conversion cycles, and reducing predictability in international trade. He emphasized the importance of timely customs clearance and efficient cargo handling in regional logistics, urging stakeholders to work collectively to improve supply chain visibility and streamline customs procedures. By enhancing coordination among shipping lines, customs authorities, and other operators, Suttar believes confidence in regional trade can be restored, ultimately benefiting businesses of all sizes.