Karachi’s business community is once again disappointed with this year’s Eid sales, marking the third consecutive year of weak sales activity. According to the All Karachi Traders’ Alliance, nearly 60% of merchandise remained unsold, leading to substantial financial losses for shopkeepers.
Ateeq Mir, president of the All Karachi Traders’ Alliance, explained that approximately 40,000 shopkeepers across 200 markets invested around Rs40 billion in goods ahead of Eidul Fitr. However, total sales amounted to just Rs15 billion, leaving Rs25 billion worth of unsold stock in storage.
Read more: Changing Eid Shopping Trends Over The Years
Mir attributed the sluggish sales to a combination of high inflation, reduced purchasing power, and deteriorating law and order conditions, which curtailed consumer spending during the holiday season. Sales were down by 25% compared to the previous year, adding to the financial strain on traders.
Many shopkeepers had taken out loans to stock up on inventory, anticipating strong Eid sales, but the unsold goods have now created difficulties in repaying their debts. Mir pointed out that inflation and limited incomes have left many poor families unable to celebrate Eid as they did in previous years.
In response, Prime Minister Shehbaz Sharif is scheduled to meet with top business leaders on Thursday to discuss recent reductions in electricity prices. The meeting will focus on power sector reforms, the government’s efforts to reduce electricity costs, and discussions with the International Monetary Fund (IMF) on further tariff reductions to alleviate financial pressures on businesses and consumers.
