Water shortage halts industrial production in Karachi: SAI

SITE Association

KARACHI, May 2, 2025 – Ahmed Azeem Alvi, President of the SITE Association of Industry (SAI), has raised a serious alarm over the ongoing water crisis in Karachi’s key industrial zone. He revealed that factories in the SITE area have not received a drop of water in the last two weeks, leading to a near-complete shutdown of industrial activity.

According to Alvi, the suspension of water supply has halted operations in hundreds of factories, with workers left idle and export commitments in jeopardy. “The SITE industrial zone, a backbone of Karachi’s economy, is facing a disastrous situation due to the absence of water. We are suffering heavy financial losses and risking mass layoffs,” said the SAI President.

He particularly highlighted the plight of textile processing units, which are entirely dependent on consistent water availability. Without it, manufacturers are forced to suspend operations, and sourcing water through private tankers has proven both prohibitively expensive and insufficient in volume.

Alvi warned, “If immediate measures are not taken, we may be left with no choice but to shut down factories permanently and lay off thousands of workers.” He emphasized that while the SITE area requires approximately 50 million gallons per day (MGD) of water, it is currently receiving a meager 2.5 MGD.

The SAI chief also expressed frustration over the continued delay in implementing the dedicated Hub Canal water supply project, which was approved to deliver 23 MGD to the SITE zone. “This negligence raises serious questions—how can industries thrive, boost exports, and generate foreign exchange in the absence of such a basic resource?” Alvi asked.

In a bid to find long-term solutions, Alvi urged Karachi Mayor Barrister Murtaza Wahab to expedite the development of the 35 MGD Waste Water Recycling Plant at TP-1. The proposed facility would not only address the current supply crisis but also ensure environmental compliance, which is increasingly demanded by international buyers.

The SAI President appealed to all concerned authorities—including the Mayor of Karachi, MD of KWSC, and MD of SITE Ltd.—to take urgent and permanent measures to resolve the water crisis before it causes irreversible damage to Karachi’s industrial lifeline.