The Egyptian trucking startup, Trella, has decided to call it a quit as economic conditions deteriorate in Pakistan, with several other companies/startups also closing or pausing their services in the country. According to the international media, Trella began their exit last month in March when they stopped taking orders.
Trella to Reportedly Retain Some of Its Staff in Pakistan
People familiar with the matter informed that the company would retain some of its staff in Pakistan to assist operations in Egypt, United Arab Emirates (UAE), and Saudi Arabia. Several startups shut down or reduced operations in Pakistan, including Airlift and Swvl; multiple companies across different sectors have also reduced production citing economic conditions and restrictions on imports.
In 2021, Trella raised $42 million with investors including those from the venture arm of shipping and logistics company A.P. Moller-Maersk A/S. However, the company has decided to quit due to the macroeconomic turmoil and the worst economic conditions that have forced many startups to shut down. Fahad Rauf, Head of Research at Ismail Iqbal Securities, says, “These exits are not just limited to Pakistan. Globally, the allocation of capital is being revisited. Pakistan’s business environment is also not encouraging at the moment, as the economy is going through a contraction. It seems that Pakistan’s growth will remain on the lower side over the next few years,”.
The History of the Company
Trella was founded in November 2018 by Ali El Atrash, Muhammad El Garem, Omar Hagrass, and Pierre Saad. The startup came to its third country, Pakistan, in October 2020, which, according to them, was the most promising market. Trella boarded over 1500 carriers and serviced more than 25 shippers in Pakistan by June 2021.
Also read: Pakistan’s Q-commerce Startup Airlift Shuts Down its Operations in Pakistan
