“The fiscal and monetary policies in place at the moment are killing the industry,” said Sultan Chawla, former president of Federation of the Pakistan Chambers of Commerce and Industry (FPCCI). “Five months ago, we were promised by the government that consultations will be held over the imposition of reformed general sales tax while four months ago we were assured that the two-day bank holiday will be repealed,” recalled Chawla adding that, “we are still waiting for progress on both these counts and many other issues as well”.
The former president of FPCCI asserted that the policies of the International Monetary Fund are not consistent with the interests of local enterprises and urged the government to stop relying on foreign donor agencies for the development of the economy.
“The number one reason for our economic crisis is that the government is delaying key decisions and not consulting the relevant stakeholders,” said Chawla.
Prominent businessman Siraj Qassim Teli pointed out that “traditional exports such as bedwear have fallen in recent times”. Teli also held the government responsible for the shortage of cotton in the country.
Terming the cotton shortage “a manmade crisis”, Pakistan Bedwear Association President Shabbir Ahmed claimed that the “textile ministry is responsible for mishandling the differences between different stakeholders.”
Businessmen have also urged the government to ensure the supply of gas to industries, particularly in Punjab.
Participants also called for an early resolution to spiraling inter-corporate debt in the country’s energy sector. Meanwhile, Fahim assured that “the issue will be taken up with the relevant ministries as well as with the federal cabinet”.
Trade concessions from EU
Chairman TDAP Tariq Poori said that “the country will receive benefits from the export of 75 different items in the European Union”. However, he added that the “agreement may still face hurdles” and urged the media to support the government in portraying the deal in a positive light. “These concessions are all unilateral and we have not had to give up anything in return,” said Poori.
“TDAP must evolve beyond trade shows and delegations,” said Poori, adding that efforts are underway to inculcate a “corporate culture”. He stressed the need to create linkages between exporters, TDAP officials and other government representatives.
Published in The Express Tribune, November 9th, 2010.
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