February, 22, 2024
Gas Price Protest: Karachi Industries Shutdown

Gas Price Protest: Karachi Industries Shutdown

Infostani Sources- Industrialists staged a city-wide strike in protest against the surge in gas prices and non-supply. Leading to the lockdown of various industries. The industrial alliance, representing regions, issued a warning to the government. If the gas tariff issue remains unresolved, they declared their intention to extend the strike by a week. Resulting in the shutdown of industries and exports. Sindh and Balochistan, including Karachi, witnessed the closure of industries, adorned with black banners displaying slogans. The export industry also joined the protest by keeping its factories closed.

During a press conference at the Site Association on Monday. Javed Balwani emphasized the need for the government to engage in dialogue. He pointed out that the IMF suggested ending subsidies on gas, taxing fertilizers, and independent power producers (IPPs). Balwani stated that, as a symbolic gesture, they had shut down all industries in Karachi. Affecting export and production across 11 associations on the same day. However, he warned that if the government failed to meet their demands. A one-week strike would follow through consultation, emphasizing the industry’s inability to sustain operations with expensive gas.

Gas Price Protest: Karachi Industries Shutdown

Gas Price Crisis: Karachi Industries Face Shutdown, Urgent Call for Reduction

Highlighting the economic impact, Balwani stressed that if gas prices remained unchanged. Industries would struggle to operate at the current production cost, leading to a halt in exports. Karachi contributes over 60% to Pakistan’s total exports. The business community urged the government to reduce the gas price to Rs 1,350 per MMBtu. A rate determined by OGRA that includes a 22% profit margin. Despite the industries being willing to pay the OGRA-fixed rate, all industrialists rejected the gas price hike. They declared that if the government failed to make a decision regarding gas prices. A more stringent action plan would be announced.

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