Maersk-backed trucking startup Trella wraps up Pakistan operations

• Company stopped taking orders last month.
• Some staff to be retained to assist in other countries.
• Sources say Pakistan’s conditions made business "unsustainable".

Trucking startup Trella, which launched operations in Pakistan in October 2020, has decided to exit the country, Bloomberg reported on Thursday.

The Egypt-based company raised $42 million in 2021, with investors including those from the venture arm of shipping and logistics company A.P. Moller-Maersk A/S.

Two people who were familiar with the matter said Trella had stopped taking orders last month, adding that Pakistan’s ongoing economic crisis had made business “unsustainable”. The company will retain some of its staff in Pakistan to assist operations in Egypt, United Arab Emirates (UAE) and Saudi Arabia.

Pakistan’s economic crisis has worsened over the last few months as the country scrambles to secure external financing and a deal with the International Monetary Fund (IMF) that is essential to avoid the risk of default. 

International institutions, including the IMF, World Bank and Asian Development Bank have slashed growth projections and forecast that Pakistan’s GDP will grow between 0.4-0.6% during the current fiscal year.

Several startups shut down or reduced operations over the last year, including Airlift and Swvl. In recent months, multiple companies across different sectors have reduced production citing reduced market demand and restrictions on imports and opening of letters of credit as a result of the dollar shortage.