The World Bank’s (WB) most recent Logistics Performance Index (LPI) has ranked Pakistan at number 72 for 2014, out of 160 surveyed countries, indicating an overall infrastructural halt the country is facing for the past few years. This is yet another proof that the country is gradually sinking.
LPI ranks countries by analysing the efficiency of customs, border management and clearance, quality of trade and transport infrastructure. The index also examines the quality of logistics services, the ability to track and trace consignments and the frequency at which shipments reach consignees according to the schedule.
The performance index compares logistics profiles of 160 countries, rating them on a scale of 1 (worst) to 5 (best). The ratings are based on 6,000 individual country assessments by nearly 1,000 international freight forwarders, who rate the eight foreign countries their company serves most frequently.
The first LPI survey in 2007 had ranked Pakistan at number 68, which dropped to 110 in 2010. The sudden drop was mainly due to nationwide floods, which critically damaged the infrastructural network in the country.
Freight journeys via road normally take twice as long as they would in Europe, mainly due to poor and unreliable infrastructure. This constrains Pakistan’s ability to integrate into the global supply chains, which require just-in-time delivery.
Experts said that in coming years, Pakistan’s infrastructural situation is likely to improve primarily due to the proposed Lahore-Karachi Motorway and the China-Pakistan Economic Corridor, which are on priority lists of the Nawaz Sharif government.