Thousands of tonnes of goods, including perishable goods, remain stuck as air cargo rates soar due to flight cancellations.
Thousands of tons of cargo are trapped in airport warehouses. PHOTO: EXPRESS
LAHORE:
The conflict between Iran and the United States has disrupted the air cargo system, causing a huge backlog of goods at airports across Pakistan, including Lahore’s Allama Iqbal International Airport. Thousands of tonnes of cargo are stuck in airport warehouses and major air cargo service providers have raised their prices, with some charging double or triple the usual rates.
The conflict has severely affected air cargo services. According to sources working at the airport, more than 700 flights have been canceled at Allama Iqbal International Airport and across the country in the last five days. Shipments containing food, fruits, vegetables, meat and other goods have not been able to leave the region for the past five days. Products that were supposed to be shipped by air from airports like Lahore, Islamabad, Karachi, Multan, Faisalabad and Sialkot are stuck in warehouses.
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At Lahore Airport, 200-300 tonnes of goods were previously shipped daily via air cargo to destinations like Dubai, Abu Dhabi, Sharjah, Bahrain, Kuwait, Qatar, Saudi Arabia and other countries. Now cargo is not moving and exporters are frustrated.
Goods stuck at the airport. PHOTO: EXPRESS
The companies that handle these shipments have also significantly increased their rates, adding another difficulty for exporters.
Customs clearance agents are also facing unemployment, as previously many agents handled 200 to 300 tons of cargo per day. According to a customs clearance agent in Riyadh, no shipments have been sent for the past five days and agents are waiting in the hope that air routes will be restored soon. However, as the conflict between Iran and the United States intensifies, there is no clear solution in sight.
Mansoor, director of an air cargo services company, said his goods have been stored in his offices and sheds at the airport for the past five days.
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Reservations were made, but the flights were canceled at the last minute and as a result, the goods did not reach Saudi Arabia or the United Arab Emirates. The few airlines still providing air cargo services have doubled their rates, making it nearly impossible to ship goods. These rising costs make it financially unfeasible to ship cargo.
Mansoor urged the government to take immediate action and restore air cargo services to enable the shipment of the thousands of tonnes of goods that are stuck at Lahore, Karachi, Islamabad and other airports. If these shipments are not sent soon, exporters will face millions of dollars in losses. Air cargo companies have also demanded that the government consult with airlines and work to resume cargo services to avoid mass unemployment of thousands of families who depend on air cargo.
Mansoor said only a few shipments have been sent to European countries, the United States and Canada, but they were also sent at double the normal rates out of necessity.
Apart from the losses faced by airlines and cargo service providers, the government is also suffering a loss of billions of rupees in customs duties and taxes. While clothing and other items may be held up for a week or two, the perishable situation is critical and long delays are causing products to spoil.
