The volatile law and order situation has not only paralysed the social life of Karachi but it is also likely to affect trade of over Rs40 billion during ‘Eid Shopping’ in the financial hub of the country.
The ever increasing incidents of target killings, extortion and violence have badly affected the city’s business as people are not ready to risk shopping at the stake of their lives. Besides, traders who were hoping to have better businesses during the holy month of Ramadan and fast approaching Eid-ul-Fitr, are also worried about the targeted business as almost 70 per cent of prospective customers were not coming out of their homes to shopping malls under the fear of imminent violence.
As the shopping frenzy in the country increases in preparation for three-day Eid festivities, the situation in the financial hub of the country is dismal where the preparations of the religious festivities have been marred, this year, because of the poor security situation and escalating inflation. While inflation has already resulted in curtailment of spending on Eid preparations, the fear of loss of life and valuables in shopping centers, streets and roads has resulted in people showing their reluctance to come out of their houses thus affecting the traders especially those who sell items related to the religious festival.
Talking to Pakistan Today, Atiq Mir, Chairman All Karachi Tajir Ittehad (traders’ alliance) said that during the last three months the daily business of the city which is estimated to be Rs3 billion has been reduced to around Rs1.5 billion. The strikes and holidays during which the markets remain closed are excluded from this calculation. The routine trade and business in the metropolis has been reduced by over 40 per cent during the last few months. As twenty million citizens spend almost Rs2000, each, on average during Eid, the trade of clothes, shoes, cosmetics, food items and other miscellaneous items were being badly affected by the current violence. “Though with the start of the holy month, we tried to keep the markets open late night to facilitate both the citizens and traders while taking risks, but the reduction in numbers of customers in the city’s markets were beyond expectation,” he said adding that even many markets which were asked to stay open during whole night remained shut since early evening.
The traders were expecting that reduced sales during the last eleven months would be covered by increased business activity during Ramadan, but trade activities during the last 18 days of the month have remained below the expectation. Some of retailers and wholesalers were of the view that during violence in the city outskirts in the last few months, the old and busy markets like, Saddar, Bolton Market etc had remained less affected but fresh violence which began on Wednesday in the old city areas have almost spread panic and fear in the city’s busiest areas.The violence in the center of the city was also blocking access of retailers to old city markets causing shortage of commodities in the city suburbs. Incidents of extortion have also been on the rise for the past year or so that has threatened not only the livelihood of traders but has also exposed them to the threats of various entities that could harm these traders if their demands are not met. Interestingly, traders complain, that extortionists were distributing slips demanding kickbacks according to the worth of the businesses ranging from Rs20000 to Rs100000.
Karachi violence rings death knell for traders
