Traders call for promotion of industry

Say business community has been facing tough challenges

ISLAMABAD:

The Federation of Pakistan Chambers of Commerce and Industry’s (FPCCI) Businessmen Panel (BMP) has said the business community has been facing tough challenges because of limited business.

In this context, it sought the attention of the government for the formulation of regional, provincial and central level task forces, and formulation of sector-wise regional policies which would help the government address the problems confronted by exporters.

Former FPCCI president and Businessmen Panel (BMP) Chairman Mian Anjum Nisar called for promoting industrialisation and enhancing exports by lowering the cost of production, paying early refunds to solve liquidity crunch and relaxing import policy for industrial raw materials.

He suggested that One Window Operation should be introduced the replace the lengthy procedures that involve the interaction of manufacturers with various agencies. The government agencies were harassing the textile industry every day. Social Security, EOBI and other taxes should be merged and deducted at the source.

Nisar asked the government to appreciate the role of industry for its potential to harvest maximum benefits, providing mass employment to the jobless population of the country. He also sought the government’s attention for formulating aggressive marketing plans and hurdle-free policies as well as urgent decisions in favour of exports while taking on board major stakeholders.

He called for concerted efforts to explore new markets both traditional and non-traditional to introduce homemade products. He urged the government to announce favourable policies and allow duty-free import of raw materials and accessories. This move will attract investors and help in setting up new industries in the country which will create wide employment opportunities.

We direly need a stimulus economic plan coupled with a relief package by the government to maximise production. He also emphasised the need for seeking technical know-how from China and other countries for the sake of innovation, and improvement of products.

The BMP chairman said the sustainable solution to Pakistan’s problems lies in reforms, as we can see very large inefficiencies in tax collection. So, tax compliance must be improved and the tax base be broadened. This cannot be achieved with a single policy change, but by a systemic approach, he added.

He observed the government preferred direct taxation to meet revenue shortfall as opposed to resorting to increasing indirect taxes because direct taxes tend to be more progressive; therefore, the burden on the lower income strata of the population is lesser.

Published in The Express Tribune, March 12^th, 2024.