Pakistan’s logistics sector is losing a staggering $36 billion every year due to outdated trade practices. This massive loss is not just hurting the economy but could also cost millions of jobs between two to three million to be precise. 

Experts discussed these alarming issues at the Pakistan Logistics and Shipping Summit 2025. They stressed the need for change especially in moving towards digital solutions that can make the industry more competitive on a global scale.

The traditional methods still being used in many parts of the logistics industry are slowing things down. While the government has made progress in digitizing some processes still a large part of the private sector is using manual methods. This gap in digitization means Pakistan is falling behind in tapping into the potential growth opportunities that real-time solutions could bring.

Real-Time Solutions: The Key to Competitiveness

Pakistan's logistics industry needs to adopt real-time solutions like digital processing, tracking and other facilities to compete with developed countries. These technologies could streamline operations, reduce inefficiencies and open up new avenues for growth. 

However, there’s still a long way to go despite efforts from the government to digitize certain processes. Experts point out that around 70% of the private sector is still using outdated methods making it hard for the country to keep up in the fast-paced global trade environment.

Another issue discussed at the summit was the imbalance in foreign trade. Only 40% of imported containers are re-exported from Pakistan pointing to a significant gap in the trade process. This imbalance signals that much more needs to be done to improve how Pakistan handles imports and exports to boost the country's trade performance.

Government Initiatives: A Step Toward Modernization

Government initiatives like Digital Pakistan, Uraan Pakistan and the Pakistan Single Window (PSW) are laying the foundation for much needed modernization. Particularly, PSW has made significant progress by digitizing over 70 government agencies, improving customs, licensing and regulatory processes that previously hindered trade. 

These changes are important first steps in modernizing the country’s logistics and trade systems. However, the road to full digitization is still a bumpy one. While the government is making efforts still there is hesitation among SMEs and stakeholders to adopt new digital tools. 

This slow adoption along with insufficient support for faster digital transition is preventing Pakistan from catching up with other developing countries. A more aggressive push for digitization is needed across both the public and private sectors for real progress to be made.