Business

Vehicle imports: Govt asked to allow import of cars

Importers say this will give more choice to customers and discourage smuggling

Our Correspondent April 20, 2015

PHOTO: REUTERS

KARACHI: Car importers have urged the government to allow commercial imports in addition to the current car import schemes in order to provide more choice to car customers.

In a letter written to Finance Minister Ishaq Dar, All Pakistan Motor Dealers Association (APMDA) Chairman HM Shahzad said the government should also allow the import of used vehicles up to 10 years old.

He argued that with more car imports, the government would get more revenue and hence, commercial imports were in the interest of the government and the consumers alike.

At present, importers can import only three-year-old used cars.

Shahzad accused local carmakers of cartelisation through which they could dictate the small car market of the country.

“Local car assemblers increase prices as per their needs, which hurt the interests of the customers.

The government can only discourage this by opening up car imports,” he added.

He demanded that the government reduce import duty on used vehicles to discourage car smuggling into the country.

Citing the example of Amnesty Scheme of March 2013, he said the scheme allowed the registration of 52,000 smuggled vehicles without any age-limit consideration because of high import duties. “Age limit on used car imports has encouraged smuggling in the country.”

Published in The Express Tribune, April 21^st, 2015.

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COMMENTS (1)

Gutka/Mainpuri | 9 years ago | Reply Used car Imports conducted by Gutka/Mainpuri breed with no comprehension about the international norms of International Car Trade i.e., Import/Export. The World Custom Organisation endorses Pakistan Customs adherence to regulations of WCO. The GHG compliance would not allow the Import/Export should be less than 4 years to comply the transport of the used car by sea, road, air. Pakistan being the signatory of GHG should adhere to UN standards. Cars beyond 4 years should be scrapped as waste re-cycling, subject to conditions which apply on rubber, plastics, paints, lubricants, transmission/brake oils, greases, which should essentiallly be removed under UN procedure compliance for waste recyclying. Then the sea freight is not permitted as it will be voilation of sea freight voilation, etc., etc., under Maritime Security, and toxification of environment of sea, land. This highly objectionable and under no circumstances be shipped on sea, air, or land. Yes, there's a catch in which the Khepia Mafia money laundrers, has to provide full transanction details of the cost of vehicle imported. The subject has been debated on World Consumer Day 2015 on Car Import Pricing in China. With treaty between Chinese Authorities and Pakistan Customs intelligence sharing this could be verified for the costs by Pakistan Customs for Used/Reconditioned Cars.

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