Karachi Chamber of Commerce and Industry
Press Release; 19 May 2022
Stakeholders were not re-boarded before raising duty on imported goods: BMG
The Businessmen Group (BMG) leadership has recommended that the FBR ban luxury items and increase duties on various imported goods, including cars, household items, mobile phones, machinery, tiles, ceramics, and many other items. Said referring to.
Although the decision to increase the duty was taken to discourage imports so as not to increase the current account deficit, unfortunately, the stakeholders were not taken on board again which is likely to create a lot of confusion.
In a joint statement issued at the end of the meeting convened to discuss economic issues facing the country, Chairman BMG Zubair Motiwala, Vice Chairman BMG Tahir Khaliq, Haroon Farooqi, Anjum Nisar, Javed Balwani, and General Secretary BMW GAQ Khalil said the business and industrial community feared that the FBR might also increase duties on items that are either not being produced locally or are being produced in smaller quantities than demand.
The move would create a shortage of all such items and increase the cost of such items beyond the reach of the common man. It is also important to maintain quality competition with imported goods. We hope that the FBR would not have recommended an increase in duty on imported raw materials for industrial purposes, which would have been increased. So industrial performance will be severely affected and the economy will sink into more crises.
He said that raw materials imported for industrial use should be continued without any hindrance to ensuring an increase in production, high exports, and supply of import substitutes.
He also expressed deep concern over the continued depreciation of the Pakistani rupee against the dollar, which has reached an all-time high of Rs 200. Subsidies and other underperforming economic indicators are also a source of concern for the business and industrial community, which can be catastrophic if not handled promptly and carefully.
The time has come for the government to make difficult decisions while dealing with political crises on a war footing as they are a major factor in shaking the confidence of local and foreign investors.
He urged the government, all political parties, and other institutions that as Pakistan was going through a critical period, they would have to forget their political differences and prioritize the economic and financial crises facing the country. Such measures will have to be implemented on a priority basis which is in the wider interest of the country.
He said that large sums of foreign exchange earned legally by Pakistanis living abroad were still standing outside the country, therefore such foreign remittances would have to be repatriated with full tax exemption. Overseas patriotic Pakistanis need to be given full encouragement, incentive, and facilities to send remittances to Pakistan. To invest in various sectors.
Criticizing the ongoing talk of bankruptcy of the country, he said that it was really unfortunate that instead of finding a solution to save the motherland from destruction, the political parties were engaged in blaming and scoring points. It is in the right and in the interest of the country. It takes time to make bold decisions on an emergency basis to save the economy.
He said that the widespread propaganda of political struggle in the media especially on social media by presenting Pakistan as a very unstable country is sending a very negative message to the rest of the world which is neither in favor of the country nor the political parties. in favor of.
The BMG leadership stressed that all political parties must work out a consensus on the Charter of Economy, which the Karachi Chamber has been demanding for a long time.
Regardless of political differences, the economic policies that have been agreed upon and implemented under the said Charter of Economy should be maintained and all political parties should be on the same page as far as the economy is concerned. Should.
He further said that instead of politics the economy has to lead the country at any cost so all political parties should show patience and take steps that are in favor of Pakistan and its economy.
The BMG leadership also stressed the need to publicize the strategy and targeted subsidies agreed upon in negotiations with the IMF, as business community leaders fear that this burden will fall on the common man and honest taxpayers.
Director of Press, Public Relations