Economy – Tea Party, the Pakistani version

The Tea Party movement is a political movement in the United States that emerged in 2009 through a series of locally and nationally coordinated protests. The name "Tea Party" echoes the Boston Tea Party, a 1773 incident when colonists destroyed British tea rather than paying what they considered a tax that violated their right to -- No Taxation without Representation.


The bailouts of banks by the Bush and Obama administrations triggered the Tea Party’s rise. They think federal spending, deficits and taxes are too high, and that no one in Washington is listening to them. The movement's primary concerns include, but are not limited to, cutting back the size of government, lowering taxes, reducing wasteful spending, reducing the national debt and federal budget deficit, and adherence to the United States Constitution.

Pakistan is also faced with high expenditure, deficits, high inflation. Due to these problems the real economy is not performing up to the mark as many believe government has failed to provide even the basic infrastructure. Although, these things have been discussed by intellectuals in length yet nothing has done so far to arrest the falling trend.

But the power crisis due to reduces gas supplies, which is again an out come of early turnaround of gas fields, has created havoc in the industrial sector and probably a Tea Party. Twelve hour load shedding for industrial sector is causing two-third of production losses; this will curtail food supplies and jack up inflation and unemployment amid many are planning to close down one shift until the situation gets back to normality. I guess nothing new as in the past we have seen such measures, but perhaps this time it is different.

The Korangi Association of Trade and Industry (KATI), on the vary issue hosted a press conference and decided not to pay utility bills if load shedding remains, besides this they have also decided not to pay bank mark up on loans for un-productive days. While explaining the notion behind its conduct KATI has said that out of 360 days 104 are holidays, 17 gazette once and 30 lost due to law in order situation all sums up to 151 for a year. The bank on the other hand charges interest for the lost days as well, which they believe is unfair to the industrial sector. The other 5 industrial zones have agreed to coat tail KATI.

I consider this as an early sign of a tea party in the mending. Karachi Chamber of Commerce and Industry has come up with law in order issue the other day as they hosted a meeting of Sher Shah Market shopkeepers and the government. Federal Interior Minister was supposed to represent the government but he could not make it, Chief Minister Sindh supposes to fill his absence, couldn’t and therefore the provincial law minister was sent but the shopkeepers boycotted the event. Although, all these are small events but they are gathering the business community at one platform and therefore I called it TEA PARTY, the Pakistani Version.