Exporter seeks relief as Pakistan-US shipping costs surge 200% amid Iran war

Freight charges for Pakistani exporters shipping to the United States have risen by over 200 per cent on certain routes, according to Business Recorder. The Salt Manufacturers Association of Pakistan's founding chairman, Ismail Suttar, linked the jump to the Iran war, which is disrupting shipping lanes and pushing up war-risk insurance and fuel expenses. A Karachi to New York container that once cost roughly $2,000 has climbed to between $8,000 and $9,000.

Suttar said the Karachi-Jebel Ali route has also been hit, with charges rising from $100-200 to about $4,000-5,000 as vessel availability fell considerably. A container from Vietnam to New York currently costs $3,000-4,000, far below the $8,000-9,000 charged for Pakistani shipments on the same lane. Suttar described the difference as around $5,000, which he said leaves exporters at a steep handicap when bidding for overseas orders.

He called for an inter-ministerial committee, comprising exporters, shipping firms and relevant agencies, to assess the freight surge and design relief measures. Suttar also highlighted Pakistan's missing effective national carrier and thin containerised fleet, citing China and Korea, whose national carriers support trade during global disruptions. He cautioned that delayed action could reduce export orders, strain foreign exchange inflows and weaken the country's standing in world markets.