Senate panel expresses concern over raise in steel bars prices

Committee members recommend allowing its import to end cartelisation

ISLAMABAD:

The Senate Standing Committee on Industries and Production on Friday expressed concern over the increase in the prices of steel bars used in the construction industry, with its members recommending allowing its import to end cartelisation.

The committee meeting, headed by its chairperson Khalida Ateeb, was informed that the price of steel bars increased from Rs100,000 to Rs230,000 per tonne.

The members stressed the need for allowing the import of steel bars to end its cartelisation.

During the meeting, the committee members raised the issue of increase in own money on vehicles, pointing out unnecessary delay in the delivery of vehicles.

Own money is an illegal premium that car dealers charge customers over a vehicle's manufacturer’s suggested retail price for its early delivery or if they want to buy it on the spot.

The committee members said that the delivery of a booked vehicle was being made after eight to nine months. The chair asked the industry ministry to pay attention to the delay in vehicle delivery and the own-money issue.

The industry ministry additional secretary informed the committee that the National Fertilizers Marketing Company Limited (NFMCL) was being merged with the Trading Corporation of Pakistan (TCP).

The secretary said the NFMCL had sustained Rs73 million losses in the last financial year 2021-22, while another Rs140 million losses were sustained in the year before that.

The additional secretary added that the NFMCL was working with 361 permanent employees and 316 temporary employees. The committee summoned the commerce ministry officials in the next meeting to discuss the merger of the NFMCL with the TCP.

The additional secretary informed the committee that the decision to import urea fertiliser had been taken on the request of the provincial agriculture department. He added that 200,000 tons of urea were imported from China, and that two ships of urea consignments had arrived now.