Water Crisis Puts Karachi’s Industrial Production at Risk; FPCCI Urges Federal Intervention
Karachi’s industrial sector is grappling with a critical water shortage that threatens the operations of major factories in the Steel Mill and Port Qasim Industrial Areas.
For the past month, the Karachi Water and Sewerage Board (KWSB) has suspended water supply to these industrial units due to a financial dispute with Pakistan Steel Mills. Despite the Steel Mill’s substantial payments over the years, the Water Board halted the supply, citing outstanding debts.
The Pakistan Steel Mills has requested the Water Board to assume control of the water management system, but the Water Board has refused, pointing to the Steel Mill’s significant arrears.
The Federation of Pakistan Chambers of Commerce & Industry (FPCCI) and the Industrial Park Owners Association have expressed grave concern over the situation. In urgent letters to the Federal Minister of Industry and Production, they have highlighted the severe impact on production and called for immediate intervention.
Zainul Abedin Shariq, Chairman of the Industrial Park Owners Association, underscored that the ongoing dispute has jeopardized the operations of numerous industries. Despite the Steel Mill collecting millions in ground rent and other dues from industrial units, the water cutoff has forced many factories, including international auto manufacturers, to halt production.
The Water Board has insisted that water supply will not resume until all outstanding dues are settled by the Steel Mill. This has resulted in a significant crisis for industries, particularly in the auto sector, leading to halted production lines and economic distress.
The FPCCI has urgently appealed to the federal government to intervene and resolve the standoff, as the current situation threatens not only industrial output but also the livelihoods of many workers.
