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It seems that they use some state services to broadcast their signal looking for people. Their service is also tied into their mortuary service, helping family members identify dead bodies.
This subject is a bit hard to get good objective data on. It would be interesting to know exactly how much they depend on the government.
Edhi's page about it: https://edhi.org/missing-persons-service/
Interesting stories from Dawn (Pakistani English-language news source):