After recent rises in petroleum product prices, Karachi’s goods carriers have announced a 20% increase in fares. The Goods Carrier Association’s president, Noor Khan Niazi, decided on Tuesday.
According to Niazi, rising diesel prices are the primary cause of the fare rise. He emphasized that the higher costs would ultimately be passed on to the public, resulting in a larger wave of inflation. “The high cost of diesel impacts not only consumers but also the agricultural sector,” Niazi said.
Niazi added that the fare rise was also caused by rising spare part costs and toll taxes. He stated that toll taxes had been raised since July, increasing the financial burden on the transportation sector. Niazi encouraged the government to examine such decisions to reduce the financial burden on the transportation industry.
the government has increased petroleum prices since July 1st. Petrol prices were raised by Rs. 7.45 per liter, taking the total to Rs. 265.61 per liter, while high-speed diesel (HSD) prices increased by Rs. 9.56 per liter, to Rs. 277.45.
In addition to petroleum price increases, the National Highway Authority (NHA) has announced a raise in toll tax rates for vehicles traveling on various highways beginning July 1, 2024. Major routes impacted include the Islamabad-Peshawar Motorway (M-1), Lahore-Abdul Hakim (M3), Pindi Bhattian-Faisalabad-Multan (M4), Multan-Sukkur (M5), DI Khan (M14), and the Hussainabad-Hasan Abdal-Havelian-Mansehra Motorway (E35).
The combination of rising fuel prices and toll charges is putting huge pressure on the transportation sector, resulting in the necessary increase in rates.