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Export shipments delayed, losses mount as rains knock Karachi down

August 27, 2025

Ahmed Khan Malik

Flooding and power breakdowns in Karachi have not only affected public life but also paralyzed the entire infrastructure in the industrial zones, delaying shipments and causing substantial financial losses, reports WealthPK.

The industrial belts of the port city, from Korangi to SITE and North Karachi to Landhi, constitute the backbone of the national economy, contributing billions in exports and taxes while providing jobs to the people. However, these areas remain buried in knee-deep water, with choked drains overflowing with foul-smelling sewage and solid waste.

The containers carrying export goods stand parked bumper to bumper, the raw material supplies have been delayed, and the workers have to struggle a lot to reach their workplaces. For industries operating on tight schedules to live up to the international commitments, these interruptions translate into huge losses not just for factory owners but for the country at large.

“What is most troubling is that this is not an isolated incident, as every year, heavy rainfall damages the infrastructure, inundates roads, and puts the already fragile municipal services out of joint,” Javed Bilwani, President Karachi Chamber of Commerce and Industry, told WealthPK.

“Repeated appeals from the industrial associations and chambers of commerce to develop sustainable drainage systems, repair the broken roads, and ensure uninterrupted utility supplies to the industrial hubs have fallen on the deaf ears of the authorities concerned,” he said.

“The consequences are devastating. The port city’s industries account for more than half of the country’s exports, yet their functioning is left at the mercy of the weather,” he told WealthPK.

The SITE industrial area, one of the oldest and largest, looks more like a disaster zone than a thriving production hub. The factories have reported losses, as rainwater has entered the production units, damaging machinery and raw materials. Trucks carrying export goods lie stranded for hours, with drivers refusing to ply the submerged roads.

The Korangi Industrial Area, home to textile, pharmaceutical, and food industries, faces a similar situation. The Landhi and North Karachi zones have reported severe power breakdowns lasting over 12 hours in some areas, making it impossible for the factories to operate even after the floodwater has receded.

Industrialists warn that if the government does not intervene to remedy the situation, the long-term consequences could lead to the flight of investment, reduced export competitiveness, and the closure of small and medium-sized enterprises.

“Recurring infrastructure collapse creates a perception of unpredictability that foreign buyers and investors often cite as a major deterrent. In today’s global economy, reliability is just as important as quality, and Karachi is struggling to offer both,” Junaid Naqi, President of the Korangi Association of Trade and Industry, told WealthPK.

He called for a coordinated effort by both provincial and federal authorities. The industrial drainage systems must be overhauled with modern engineering solutions, rather than quick fixes. The roads in industrial belts require urgent reconstruction with durable material designed to withstand heavy traffic and waterlogging.

Uninterrupted electric supply must be ensured with backup systems that can withstand seasonal rains. Most importantly, the government must treat the industrial areas as priority zones, recognizing their direct link to exports, employment, and national revenue.

Naqi said that the rains have, once again, exposed that Karachi’s industrial infrastructure is fragile, outdated, and unable to support the demands of a growing economy. However, this crisis also presents an opportunity to finally invest in long-term solutions instead of temporary relief. The city’s industries are not asking for favors — they demand basic facilities required to sustain operations that benefit the entire country.

Credit: INP-WealthPk