Page 27 - CMA Journal (Mar-Apr 2026)

Table 2: Industries Affected by Supply Chain Disrup on Risks (In the Context of Pakistan)
Product Est. Pakistan Dependency on Importance Industry Affected
Middle East
70 to 80% of oil imports from Backbone of energy supply; fuels Transport, Power Generation,
Crude Oil
Gulf countries transport and power generation Textile, Cement and Logistics
Captive Power Units, Power
Liquefied Natural Gas 60 to 70% imported from Qatar Key fuel for power generation and Generation, Fertilizer and
(LNG) industrial use
Textile
Essential raw material for Plastics, Pharmaceuticals,
Petrochemicals High import reliance
manufacturing and packaging Textile and FMCG
Supports agriculture productivity and Agribusiness, Food Processing
Fertilizer (Inputs) Gas linked imports
food security
Healthcare, FMCG, Health and
Polymer and Plastic Mostly imported Used in packaging materials
Packaging
80 to 90% imported via Middle Food Industry
Edible Oil (Palm Oil) Essential food commodity
East hubs
Construction, Engineering,
Partially via global routes
Coal via Indirect Routes Power and cement sector Infrastructure and Steel
influenced by region
Shipping and Logistics Majority of imports pass Critical for trade connectivity All import/export dependent
Routes (Gulf) through Gulf routes industries

There is also a negative impact on industrial output. There is also a negative impact on industrial output.
Manufacturing processes are disrupted by shortages of Manufacturing processes are disrupted by shortages of
intermediate goods and raw materials which lowers intermediate goods and raw materials which lowers
productivity and capacity utilization. Economic growth is productivity and capacity utilization. Economic growth is
directly impacted by this. According to the Government of directly impacted by this. According to the Government of
Pakistan (2025) supply side issues continue to limit industrial Pakistan (2025) supply side issues continue to limit industrial
performance even if GDP growth has shown signs of performance even if GDP growth has shown signs of
recovery. recovery.
Another area of concern is the trade balance. A growing Another area of concern is the trade balance. A growing
trade de cit is a result of both rising import prices and trade de cit is a result of both rising import prices and
relatively slow export growth. In FY 2025, Pakistan had a brief relatively slow export growth. In FY 2025, Pakistan had a brief
current account surplus, however this was mostly due to current account surplus, however this was mostly due to
remittances rather than structural export growth remittances rather than structural export growth
performance (SBP, 2025). This emphasizes how vulnerable performance (SBP, 2025). This emphasizes how vulnerable
the foreign sector is. Pressure on the balance of payments is the foreign sector is. Pressure on the balance of payments is
also a result of supply chain disruptions. According to IMF, also a result of supply chain disruptions. According to IMF,
foreign exchange reserves are strained by rising import costs foreign exchange reserves are strained by rising import costs
and falling capital in ows, increasing reliance on outside and falling capital in ows, increasing reliance on outside
funding. Persistent external imbalances continue to be a funding. Persistent external imbalances continue to be a
major threat to Pakistan's macroeconomic stability (IMF, major threat to Pakistan's macroeconomic stability (IMF,
2025). 2025).
the most noticeable consequences. Disruptions in the Evaluation of Pakistan's Current Response
supply chain raise the price of imported items, especially
The majority of Pakistan's governmental responses to supply
food and fuel, which are vital parts of the consumption
chain disruptions have been temporary and reactive. The
basket. Pakistan's reliance on imports is re ected in the SBP
management of foreign exchange pressures has often
In ation Dynamics (2025) which states that global
involved the use of import restrictions. Although these
commodity prices have a signi cant impact on the country's
actions offer short-term relief, they impede economic
in ationary forces.
activity and upset industrial supply lines.
ICMA’s Chartered Management Accountant, Mar-Apr 2026 25