Terrorists destroyed $90m imported goods in airport attack

Besides claiming over 30 uncompensable lives, the last Sunday’s terrorist attack on Karachi International Airport also has inflicted huge financial losses on the traders.

The industry representatives believe that the monetary cost of the dastardly assault, claimed by the banned Tehreek-i-Taliban Pakistan, runs in millions of dollars, hitting mostly the small importers.

Federation of Pakistan Chamber of Commerce and Industry (FPCCI) President Zakaria Usman said the financial losses were mainly incurred on the import side as imported goods worth millions of dollars were damaged by the attackers.

“To me the losses run in millions of dollars and have hit hard those small importers who had made advance payments (to foreign exporters),” the FPCCI president told Pakistan Today.

Abdullah Zaki, Karachi Chamber of Commerce and Industry (KCCI) President, was more precise in numbers saying the terrorists inflicted about Rs 9 billion (over $ 90.36 million) financial damage on the traders.

The consignments destroyed, the FPCCI chief said, chiefly included mobile phones, laptop computers, medicines, pharmaceutical raw material and chemicals for dyes and paints.

Concerned over Sunday’s “security laps” at a perceivably secured place like the Karachi airport and the consequent losses to the importers, Usman said he had been receiving complaints from the aggrieved traders who were enraged over the so-called pro-business federal government’s silence on their concerns about compensation.

The industrialist said while big companies were least concerned about the fate of their destroyed but insured goods, the smaller ones lacking resources to pay higher premiums for insurance against terrorism would be the ultimate losers.

“Normally, the airports are considered as a highly secured area due to which the importers do not bother to get insurance against terrorism,” he explained.

KCCI President Zaki too was concerned over the airport tragedy followed by Tuesday’s attack on ASF Academy warning that such consecutive assaults along with a poor law and order situation were terribly destroying the image of this commercial hub (Karachi) and sending a negative signal to the international community.

Sunday’s “security laps”, the FPCCI chief said, caused huge financial losses to the business community that should be compensated like the Bolton Market incident.

“The government should arrange some compensation so that they can be saved from insolvency,” Usman said, adding the affected importers also be refunded the taxes and duties they had paid for the ill-fated cargo.

KCCI President Abdullah Zaki also demanded the government to release funds for those having lost their goods and lives. To this respect, the leaders of federal and Karachi chambers said to have accessed the quarters concerned in the government.

“I have approached the (Sindh) chief minister (Syed Qaim Ali Shah) as well as the central government for their consideration of the issue,” the FPCCI president told Pakistan Today. Asked if he also had accessed government on the issue, KCCI chief Zaki said “yes”. He, however, did not elaborate at which level he was engaged with the government.

The FPCCI president called upon the government to immediately form a special committee that should comprise representatives from Civil Aviation Authority, Pakistan Customs, Airport Security Forces, Gerry’s, Pak Shaheen and business community.

The suggested body, he said, should expeditiously assess the losses of individual importers on the basis of documentary evidences and submit a comprehensive report to the government in the specified time.

On the flip side, most of the affected importers are, reportedly, reluctant in submitting details of their damaged consignments despite receiving formal requests from their representative bodies like Karachi Customs Agents Association and Pakistan Arms and Ammunition Merchants and Manufacturers Association. The importers’ reluctance, according to reports, emanates from their fear for penalties they could possibly draw from the tax collectors for evading taxes through under-invoicing.