KARACHI: Chairman Businessmen Group & Former President KCCI Zubair Motiwala and President Karachi Chamber of Commerce & Industry Muhammad Idrees, while warmly welcoming the relief measures announced by Prime Minister Imran Khan particularly the cut in petroleum prices by Rs 10 per litre and power tariff by Rs5 per unit, stated that the business community was delighted to see all these relief measures which were need of the hour however, the government must also adopt conservation measures to absorb the cost-impact of Rs237 billion during four months.
In a statement issued, Chairman BMG Zubair Motiwala commented that keeping in view the high trade deficit and the prices of Brent Oil hovering above $100 per barrel along with heavy imports, Pakistan was going to face a very difficult situation therefore, the government has to adopt conservation measures. “Petroleum consumption has to be curtailed at any cost by adopting the even-odd number strategy wherein vehicles bearing even numbers should be allowed to get refuelled on day one and those vehicles with odd numbers be provided fuel the next day or timings of petrol pumps should be restricted whereas the fuel quota to government employees must also be reduced which would bring down fuel consumption to a certain extent”, he added.
Zubair Motiwala also appreciated 100 percent exemption from paying taxes to IT Sector and also the assurance that no questions will be asked if anyone wishes to set up industries or invest in the sector along with five-year tax holiday to overseas Pakistanis intending to invest in industries or undertaking joint ventures. “These measures will pay fruits by restoring business community’s confidence and promote industrialization all over the country”, he added.
He further stressed that it was high time that the Prime Minister must also give attention to the issues emerging after the announcement of Supplementary Finance Bill which was likely to hinder PM’s relief measures as 17 percent Sales Tax imposed on import of solar equipment was a gross mistake which was discouraging green energy as an alternative for fuel. “It is really necessary that we must encourage alternate energy including solar and wind energy with a view to save fuel and bring down the heavy import bill”, he said, adding that the imposition of 17 percent Sales Tax on LED Lights has to be waived as these lights consume lesser energy than the conventional lights.
Zubair Motiwala said that the business community was grateful to the government for announcing the Textile Policy but delays in taking the decision about Duty Drawback on Local Taxes & Levies (DLTL) was creating confusion amongst exporters hence, it has to be taken into consideration and announced on priority basis.
President KCCI Muhammad Idrees also reiterated that top priority should be to conserve petroleum products so that PM’s relief measures at a cost of Rs 237 billion for four months continue without any problem. “We fully understand the economic condition of the country and it was heartening to see that the government, despite so many challenges, has dared to provide relief which is really encouraging so we would like to pledge to work really hard and try our best to increase the exports”.
While appealing the government to re-examine taxes imposed in Supplementary Finance Bill, President KCCI advised to relinquish 17 percent sales tax imposed on formula milk for infants as it was terribly hurting the common man.
He pointed out that the gas issue being suffered by the industries of has to be resolved on top priority as after going through terrible winter season, gas supply situation has still not normalized at the industrial zones of Karachi where gas was not available at required quantum and pressure. “This serious issue requires PM’s attention as if the gas supply situation stays unresolved, it would retard growth of not only the textiles sector but also all other industries”, he added.