Modernization of transport sector emphasized
Efficient transport system to enhance regional connectivity, revenues
Web of links to help Pak integrate better with regional markets
Islamabad: [Nov 09]
The Pakistan Economy Watch (PEW) on Wednesday said deterioration of railways is a threat to the trade which should be tackled immediately.
Weak, unreliable, and outdated railways can be privatised to improve its performance while the trucking sector, which is responsible for 96 per cent of the total trade goods transport should be modernised, it said.
Reduced allocations and internal inefficiencies has reduced the passenger share of railways from 41per cent to 8 per cent while freight share has dropped from 73 per cent to 4 per cent, said Dr. Murtaza Mughal, President of the PEW.
The productivity of Pakistan railways freight services is around 1/10th of Chinese Railways, 1/4th of Indian Railways, and 1/3rd of Thai Railways, he said.
Underlining the need for efforts to improve road density, he said that it will boost our Logistic Performance Index as proper linkages and infrastructure can promote trade, reduce time and losses, and help country compete in regional and international markets.
The National Highway and Motorway network comprises of around 3.65 percent
of the total road network which carries 91 percent of national passenger traffic and 96 percent of freight, Dr. Murtaza Mughal informed.
He said that many exporters prefer truck-based transport despite cost disadvantages to avoid longer delivery time.
Current situation demands focus on trucking sector which is an important element of trade facilitation environment, he said.
He observed that the system should not be discouraging private investment in railways and road network.
Improved transportation services can help improve trade with the rest of the world including India, China, Afghanistan, Iran, Tajikistan, Kyrgyzstan, Uzbekistan, Kazakhstan, Turkmenistan, and Turkey, he said.
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Dr. Murtaza Mughal
Cell: 0321-5157671
President Pakistan Economy Watch
Tariq Khattak, Islamabad, Pakistan.
GSM = 0300-9599007 and 0333-9599007
Email: Tariqgulkhattak@gmail.com
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