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  • Pakistan’s apex body wants fixed exchange rate regime

    Pakistan’s apex body wants fixed exchange rate regime

    KARACHI: The apex trade body of Pakistan on Monday urged the government to reintroduce the regime of fixed exchange rate and stop latest cycle of devaluation of the Pakistani Rupee (PKR) against the US dollar.

    Irfan Iqbal Sheikh, President, Federation of Pakistan Chambers of Commerce and Industry (FPCCI), in a statement emphasized that the government and the State Bank of Pakistan (SBP) should immediately take cognizance of the fact the PKR has entered into a yet another depreciation cycle; and, there is no end in the sight for the falling spree to end as it has fallen for the seventh consecutive session as of Monday.

    FPCCI chief reiterated the earlier demand of FPCCI that if the government and the central bank of the country fail to reign in the ever-falling rupee yet again, the country needs to revert to a fixed exchange rate regime instead of the current free-floating exchange rate mechanism.

    READ MORE: KCCI managing committee candidates elected unopposed

    Irfan Iqbal Sheikh explained that all contractual obligations of manufacturers and commercial importers enter into an uncertain zone when the currency starts to lose value.

    He apprised that the rupee has lost 4 percent value in just five sessions of the last week alone. He wondered that why the government is adamant on taking no action over this clearly anti-people, anti-business, anti-exports and anti-growth phenomenon.

    FPCCI Chief apprised that the differential between inter-bank and open market has widened to PKR. 8 – 10 due to the speculative trading, rumors of further rupee depreciation and week implementation of policy tools by SBP.

    READ MORE: APTMA demands immediate release of textile machinery

    He has also questioned the government to explain how and why they will be able to manage the additional inflationary pressures – which seem inevitable now.

    Irfan Iqbal Sheikh maintained that it is an open secret that the commercial banks are also involved in the speculative trading of dollar and making windfall profits. He has demanded stricter controls over the commercial banks by SBP and it should swing into action immediately.

    READ MORE: Date extension demanded for electricity bills payment

    FPCCI President highlighted that the business, industry and trade community of Pakistan was all hopeful that rupee value will be stabilized after the deal with the IMF on extended finance facility (EFF) is sealed and the combined tranche of 7th& 8th review, i.e. $1.17, billion is disbursed. However, despite the said disbursal, the rupee has not yet been stabilized.

    Irfan Iqbal Sheikh added that economists have a consensus that real effective exchange rate (REER) of the dollar against the rupee is less than PKR. 200 for a dollar; and, for all practical reasons, the current depreciation cycle is the direct result of speculative trading, lack of regulatory oversight and mismanagement of the forex market.

    READ MORE: Power tariff hike termed disaster for industries

  • KCCI managing committee candidates elected unopposed

    KCCI managing committee candidates elected unopposed

    Karachi Chamber of Commerce and Industry (KCCI) on Saturday announced that all candidates for its management committee are elected unopposed for the year 2022-2023.

    All the unopposed candidates were nominated by Businessmen Group (BMG).

    READ MORE: APTMA demands immediate release of textile machinery

    According to details, a total of 32 nominations were received by the Election Commission from candidates, of which 17 nomination papers were withdrawn that led to unopposed election of remaining 15 BMG candidates. Therefore, all 15 BMG candidates were declared successful in KCCI’s Election 2022-23.

    Chairman Businessmen Group (BMG) Zubair Motiwala, Vice Chairmen BMG Tahir Khaliq, Haroon Farooki, Anjum Nisar, Jawed Bilwani, General Secretary BMG AQ Khalil expressed gratitude to Almighty Allah and conveyed thanks and compliments to the business and industrial community of Karachi for reposing confidence and trust on Businessmen Group.

    READ MORE: Date extension demanded for electricity bills payment

    They said that 25 years of success in a row is an acknowledgement of the public service by the Businessmen Group which also testifies that overwhelming majority of Business and Industrial Community endorses the policies of BMG because they understand and believe that BMGIANs are serving them selflessly for their betterment.

    BMG Leadership hoped that the newly elected representatives will make all out efforts in espousing the cause of business and industrial community and to further enhance the status of public service which is the motto of BMG.

    READ MORE: Power tariff hike termed disaster for industries

    The list of successful BMG Candidates included names of Muhammad Arif, Mohammad Tariq Yousuf, Iftikhar Ahmad Sheikh, Altaf A. Ghaffar, Tariq Ikram Khan, Sohail Ahmed, Muhammad Yousuf Yaqoob, Junaid ur Rehman, Shoaib Manzoor, Muhammad Bilal, Adeel Nasir, Muhammad Kashif Shaikh, Mohammad Farooq Afzal, Imran Ahmed Shaikh and Mohammad Haris Agar.

    As the Managing Committee members have been elected unopposed, hence no general election for Managing Committee will be held on September 24, 2022 whereas the election of KCCI’s Office Bearers for 2022-23 is scheduled to be held on September 28, 2022.

    READ MORE: Industry slams finance ministry for blocking letter of credit

  • APTMA demands immediate release of textile machinery

    APTMA demands immediate release of textile machinery

    KARACHI: All Pakistan Textile Mills Association (APTMA) on Thursday demanded the government of immediate release of textile machinery, which are stuck up at ports.

    In a statement Asif Inam, Chairman, APTMA – Southern Zone urges the government for allowing immediate release of textile machineries and their spare parts that were stuck up due to restriction on import of items covered under Chapter 84 and 85 of Customs Tariff.

    READ MORE: APTMA suggests measures to avoid Pakistan’s economic collapse

    Asif Inam in a statement issued to the print and electronic media said that if import of machinery and the parts which are essential for smooth running of power plants and plants and machineries for production are halted resultantly the industry would stop running gradually.

    READ MORE: Govt. halts gas supply to export industry: APTMA

    He further said that our members are facing severe problem to run their mills due to the government ban and subjecting the State Bank of Pakistan (SBP) to the permission of the federal government.

    Asif Inam said that the textile industry is the major export oriented industry earning more than 60 percent of foreign exchange earnings through exports.

    READ MORE: APTMA demands continuation of energy tariffs

    He requested the Prime Minister, Mian Shahbaz Sharif and Minister for Finance Miftah Ismail to take notice of the situation and issue directives to the relevant authorities to allow import of textile machinery and its spare parts covered under Chapter 84 and 85 of the Customs Tariff without any further delay in the best interest of the economy in general and the export oriented textile industry which is earning much needed foreign exchange for the country in particular, otherwise the production activities of the textile industry will be disrupted and as a result the country will lose the export markets.

    READ MORE: Prolong Eid holidays to adversely affect exports: APTMA

  • Date extension demanded for electricity bills payment

    Date extension demanded for electricity bills payment

    Karachi Chamber of Commerce and Industry (KCCI) on Monday demanded the authorities to extend the last date for payment of electricity bills across Pakistan as in the ongoing extraordinary situation, neither the business and industrial community nor the poor masses were in a position to pay their bills.

    Keeping in view the hardships being faced by the citizens and business and industrial community of Pakistan due to massive flashfloods, KCCI President Muhammad Idrees has appealed Prime Minister Shehbaz Sharif to issue directives for extension of last date for payment of electricity bills for entire Pakistan as in the ongoing extraordinary situation, neither the business and industrial community nor the poor masses were in a position to pay their bills.

    READ MORE: Power tariff hike termed disaster for industries

    In a letter sent to Prime Minister, President KCCI further requested to refrain DISCOs from charging FAC whereas the controversial Fixed Charges which are neither in favor of the industry nor the economy must also be withdrawn as soon as possible which would be widely welcomed by the entire business & industrial community of Pakistan.

    He pointed out that as the entire country is suffering badly because of massive flashfloods triggered by this year’s torrential rainfalls of Monsson Season, the business & industrial community across Pakistan is facing severe liquidity crunch as all the receivables have been pending due to ongoing extraordinary situation wherein the entire Pakistan remains totally sunk.

    READ MORE: Industry slams finance ministry for blocking letter of credit

    “Keeping in view the hardships being faced by the citizens and the business & Industrial community, some leniency would have been exhibited but unfortunately, this was not witnessed at any stage and regardless of taking the ground realities into consideration, electricity tariffs for all DISCOs and KE have been raised by more than 100 percent which are totally unabsorbable for the industries and unaffordable for the poor masses,” he noted.

    “Secondly, the issue of exorbitant Fuel Adjustment Charges (FAC) and Fixed Charges also stand unresolved which, we firmly believe, need to be reviewed and withdrawn at the earliest as these are neither in favor of the industries nor the economy,” he added.

    READ MORE: Clearance of banned cars, phones allowed on 100% surcharge

    He hoped that Prime Minister would instantly consider KCCI’s request and accordingly instruct relevant Ministry/ departments to provide relief otherwise, many industries, which are already at the verge of collapse, would close down forever which would trigger massive unemployment, chaos and other economic issues.

    READ MORE: Pakistan lifts ban on import of cars, phones, luxury items

  • Power tariff hike termed disaster for industries

    Power tariff hike termed disaster for industries

    KARACHI: SITE Association on Industry on Saturday termed the significant power tariff as disaster for industries.

    Abdul Rasheed, President Site Association of Industry, while expressing deep concern over the massive hike in power tariff, Fuel Adjustment Cost (FAC) and reintroduction/ increase in fixed charges, has termed this unbearable upsurge in electricity tariff as disastrous for the industries.

    In an appeal to Prime Minister Shahbaz Sharif and Federal Minister for Power Engr. Khurram Dastgir, SAI chief demanded to immediately withdraw FAC, fixed charges and increase in electricity rates to continue uninterrupted production activities, otherwise it will be impossible to run the industries due to cost overrun.

    “The business community cannot bear the extraordinary increase of 80pc in electricity rates, rather industrialists will be forced to close their units as a result of this move, as they are not able to bear this huge increase in electricity rates,” he said, adding that the base tariff has been increased by Rs 9.8972 per unit, which has increased the price per unit from Rs 19 to around Rs 30 per unit.

    Apart from this, 17pc sales tax and income tax will also be applicable on this increased basic tariff of Rs.30 per unit of electricity. When all these components are combined, an unbearable minimum impact to 80 per cent.

    SAI president further said that various tariffs for industries suspended in the past under the policy of peak and off-peak hours have been reinstated once again. This will increase the production cost of the industries enormously. In such a case, the industrialists can reduce their production by 50 per cent because they cannot bear this burden in the severe economic crisis in the country.

    Abdul Rasheed requested the Prime Minister and Minister Power to avoid excessive increase in fuel adjustment charges (FAC), fixed charges and electricity tariffs in the best interest of the economy and to save the industries from destruction.

    It should be withdrawn immediately so that the anxiety of the industrial community can be removed, and they can continue their productive activities with satisfaction and create ample employment opportunities.

  • KATI sends 2nd batch of relief goods for flood victims

    KATI sends 2nd batch of relief goods for flood victims

    KARACHI: Korangi Association of Trade and Industry (KATI) has send second batch of relief goods for flood victims of Sindh and Balochsitan.

    In a statement issued on Saturday, KATI President Salman Aslam said that nine trucks of relief goods are being sent to the victims of Sindh and Balochistan.

    READ MORE: Suzuki donates 10 million yens for Pakistan flood victims

    The relief items include flour, rice, pulses, oil, dry food items, mosquito nets, pillow, water cooler, slippers, soap, toffees and biscuits for children.

    On this occasion, KITE Limited CEO Zubair Chhaya, Senior Vice President Maheen Salman, Vice President Farrukh Qandhari, Member Aid Committee Junaid Naqi, Sindh Council Member Moazzam Qureshi and others were present.

    Salman Aslam said that earlier he had taken the first batch to Balochistan under his leadership, in which relief goods worth millions of rupees had been dispatched, and the second batch is carrying goods worth more than Rs10 million.

    READ MORE: SBP bars banks from taking service charges on flood donations

    Three trucks will be sent to Balochistan, remaining 6 trucks will be sent to Khairpur, Dadu, Sukkur and other areas of Sindh.

    President KATI said that we are determined to deliver aid to more than 20,000 families by the end of this month, while the aid supplies for 7,000 families has been completed.

    He said that the cooperation of Rangers is with us in this activity, and the relief goods dispatched within Sindh and Balochistan under the supervision of Rangers which will be distributed at the designated points of KATI.

    READ MORE: Complaints against banks for refusing flood donations

    Salman Aslam said that there was a meeting with Commissioner Karachi Iqbal Memon in which he told that there are more than 500 IDPs in Korangi, our effort is to take care of 16,000 IDPs came to Karachi so far.

    He said that after the immediate aid, we are trying to take steps to bring their lives back to normal.

    On this occasion, Zubair Chhaya, CEO of KITE Limited, said that I am grateful to the members of KATI, including Patron-in-Chief SM Muneer, President Salman Aslam, Commissioner Karachi Iqbal Memon, People’s Party Korangi President Moazzam Qureshi, who are taking timely action, established a 7-member relief committee and sent the first aid supplies from the business sector.

    READ MORE: SBP issues IBAN list for donations to PM flood relief fund

    He said that I appreciate KATI President Salman Aslam for coming to help the flood victims and taking part in the relief activities. He said that I appeal to the business community and all citizens to actively participate in the initiative taken by KATI and donate generously to help our brothers and sisters who have been badly affected by the floods.

  • Industry slams finance ministry for blocking letter of credit

    Industry slams finance ministry for blocking letter of credit

    KARACHI: The industry has strongly criticized the ministry of finance for directing banks not to open letters of credit for essential machinery, equipment and spare parts.

    “Pakistan’s industrial sector is gradually heading towards doldrums because of the adamant attitude of Ministries of Finance and Commerce to block banks from opening Letters of Credit or remitting advance payments for imports of essential machinery, equipment and spare parts,” this was stated on Tuesday in a press statement by Ismail Suttar, President Employer’s Federation of Pakistan.

    READ MORE: Clearance of banned cars, phones allowed on 100% surcharge

    Ismail Suttar further said that such blanket refusal under HS 84 and 85, which are for imports of machinery, spare parts, electrical and electronic equipment, vehicle CBUs and CKDs, and other essential items, is detrimental to the functioning of any industry, especially when a particular item is not manufactured in Pakistan.

    EFP, which is the apex body of industries, is daily receiving frantic messages from member companies who are unable to maintain their production or adhere to delivery schedules. Moreover, a decrease in production eventually increases the cost of the product.

    READ MORE: Pakistan lifts ban on import of cars, phones, luxury items

    EFP President added that the industrialists fully understand the compulsions under which this embargo has been instituted but the government has to be pragmatic in its policies and must take cognizance of the ground realities. He advised the Ministers of Finance and Commerce to take private sector into confidence regarding the time frame of this embargo.

    READ MORE: 15% surcharge imposed for clearance of banned items

    Ismail Suttar also said that EFP has information that over 6,000 applications are pending before the SBP and this figure is not only mind-boggling but also a manifestation of the economic crisis faced by the country. The policy of refusal is negatively impacting on exports as well as affecting industries that are playing a prominent role in import substitution.

    He added that the recent catastrophic floods have further compounded the already dire straits through which the industries are facing. He said his message is quite clear. Save industries before they close down and retrench workers thus creating a major social crisis.

    READ MORE: SBP assures allowing stuck up containers of banned import

  • Karachi Port mulls to determine demurrage charges

    Karachi Port mulls to determine demurrage charges

    KARACHI: Syed Muhammad Tariq Huda, Chairman, Karachi Port Trust has said that the port is considering to establish a regulator body to determine demurrage charges at the port.

    The formation of regulatory body will be announced soon, he said in his address at a meeting held at Korangi Association of Trade and Industry (KATI).

    On this occasion, KATI Patron-in-Chief SM Muneer, President Salman Aslam, Senator Abdul Haseeb Khan, KITE CEO Zubair Chhaya, Senior Vice President Maheen Salman, Vice President Farrukh Qandhari, Standing Committee Chairman Faraz-ur-Rehman, Former Presidents, Farhan-ur-Rehman,  Masood Naqi, Danish Khan, Manzar Alam, Farrukh Mazhar and others were also present.

    READ MORE: KATI flays imposition of new taxes

    Chairman KPT Tariq Huda further said that I am trying to reduce the demurrage charges but due to some unavoidable reasons this issue is delayed, in a few days I will invite all the business community to the KPT head office where it will be formally announced.

    He said that due to the recent change in the import policy, all the containers were stopped at the port, which has now been allowed to leave, due to which the demurrage charges were incurred.

    Tariq Huda said that since 2002 no charges have been increased by KPT. However, employee salaries and other administrative expenses increased.

    This is the reason why now the operating profit and revenue are equal, in the past KPT’s profit was high, many development projects were completed by KPT’s expenses including KPT flyover, underpass and other projects.

    However, due to a lack of budget, it is difficult to bear the expenses of development projects. Now is the time to take concrete steps to increase the income of KPT.

     Chairman KPT said that we will start Pakistan’s single window operation which will provide facilities to importers and exporters. Tariq Huda said that we should use our marine resources.

    In this regard, if the business community under the leadership of SM Muneer presents its suggestions, I will provide all possible support. He said that if the Pipri railway track is completed, 100 containers can be cleared from the port immediately.

    Apart from this, the elimination of marine pollution also becomes our responsibility to take all possible measures. We are throwing 8000 tons of garbage in the sea every day which has increased the pollution. We must immediately step up efforts to boost infrastructure and commercial activities. KPT will soon launch an awareness campaign to prevent environmental pollution.

    On this occasion, KATI Patron-in-Chief SM Muneer said that corruption is spreading rapidly in the country. The country is currently going through an economic crisis, 90% of the industry has closed in Faisalabad, in such a situation we have to improve the economy.

    He said that floods have created havoc in the country at this time, in such a situation negative campaigns against Pakistan Army on social media are condemnable. SM Muneer said that the Army Chief keeps a close eye on the economy. The most corrupt officer in the country is appointed as Water Board Chairman.

    Despite the filling of dams across the country, the water board continues to cut off water. Chief Patron KATI said that fisheries have an export value of 450 million rupees, but the road and infrastructure there are in a state of disrepair. In connection with KATI’s initiative to help the flood victims, I salute Salman Aslam who took immediate relief measures.

    President Salman Aslam said that KATI is the first organization that took practical steps to help the flood victims. I have taken the first aid consignment of 5 trucks under my leadership, and I will prepare the second consignment soon.

    He said that KATI also announced 50 lakh rupees for the relief of flood victims. President KATI said that the local industry is facing difficulties due to the global crisis. Severe inflation has broken the backbone of the common man.

    The cost of production is threatening to bankrupt industries, while port demurrage charges and other payments are adding to the cost of doing business which manufacturers cannot afford.

    Senator Abdul Haseeb Khan said that Tariq Huda is an experienced person, and it is hoped that he will solve the problems of the industrialists by taking a personal interest.

    He said that we import raw materials and export them later, if time is saved, it can be done better. Exporters have been hit hard by the additional costs of demurrage and detention charges.

    Zubair Chhaya, CEO of KITE Limited, said that KPT’s performance is continuously improving. The infrastructure we go through is appalling. There are no corridors to go from the industrial area to the port while Korangi, SITE, Federal B Area, Landhi, and North Karachi industrial areas are the backbone of the country but they are being crippled by destroying the infrastructure.

    KPT should start a ferry service for citizens of Karachi to increase revenue.

    Chairman of the Standing Committee Faraz-ur-Rehman said that steps should be taken to improve freight charges, and a separate authority should be formed for KPT on the pattern of the Drug Regulatory Authority to decide the issues of demurrages and detention.

    He said that operating companies are collecting demurrage charges arbitrarily due to which importers and exporters are facing difficulties.

  • NKATI appeals release of stuck up textile machinery

    NKATI appeals release of stuck up textile machinery

    KARACHI: North Karachi Association of Trade and Industry (NKATI) on Monday appealed the government for allowing immediate release of textile machinery that were stuck up due to import ban.

    NKATI President Faisal Moiz Khan in a statement expressed deep concern over the non-release of containers of the textile machinery, parts at the ports due to government ban and subjecting the State Bank of Pakistan (SBP) to the permission of the federal government. As a result, the containers had been stuck up at Karachi Port.

    READ MORE: NKATI asks SBP to stop free-fall in rupee value against dollar

    In an appeal, NKATI president Faisal Moiz Khan informed to Prime Minister Shahbaz Sharif and Finance Minister Miftah Ismail to issue orders to release the containers containing textile machinery, parts stuck at the ports, otherwise the production activities of the textile industry will be disrupted and as a result the country will lose the export markets.

    READ MORE: NKATI launches industrial area beautification

    “The containers containing state-of-the-art textile machinery and parts under HS code 8452-2900 & 8447-900 are not being released at the ports of Karachi. The State Bank has made it subject to the permission of the federal government to release the containers stuck at the ports due to which import containers worth billions of rupees are awaiting release,” he pointed out.

    READ MORE: NKATI urges PM Imran to reduce petroleum prices

    Faisal Moiz Khan appealed to Prime Minister Shahbaz Sharif and Finance Minister Miftah Ismail to take notice of the situation and issue directives to the relevant authorities including the State Bank of Pakistan to immediately release the containers containing textile machinery and parts so that the production activities can be continued without interruption and fulfilment of export orders is possible on time.

    READ MORE: Pakistan raises petrol price to record high at Rs160/liter

  • Exorbitant electricity tariff hike threatens industry survival: KCCI

    Exorbitant electricity tariff hike threatens industry survival: KCCI

    Karachi Chamber of Commerce and Industry (KCCI) on Monday said that exorbitant hike in electricity tariff has threatened the survival of industries and businesses.

    The Leadership of Businessmen Group (BMG) and Karachi Chamber of Commerce of Industry (KCCI), while totally rejecting the unprecedented 80 percent hike in electricity tariff, stated that this unbearable upsurge in electricity tariff has created a miserable situation not only for the public but also for the business and industrial community wherein many businesses and industrial units will close down on their own as it was impossible to absorb such an extraordinary raise in electricity tariffs.

    READ MORE: Karachi Chamber stresses need to rationalize power tariff

    Addressing a press conference here on Monday, Chairman BMG Zubair Motiwala and President KCCI Muhammad Idrees demanded that keeping in view the gravity of situation and likely repercussions on the already ailing economy, the government must immediately withdraw hike in electricity tariff, Fuel Adjustment Charges (FAC) and reintroduction/ increase in Fixed Charges so that the industries could survive in an extremely competitive environment while the hardships being faced by common man could also be reduced in the ongoing era of inflation.

    General Secretary BMG AQ Khalil, Senior Vice President Abdul Rehman Naqi, Former President Younus Muhammad Bashir, prominent members of the Business Community, representatives of Industrial Town Associations and sector-specific trade associations were also present at the press conference.

    Chairman BMG stated that it was a matter of grave concerns that the base tariff has been raised by Rs9.8972 per unit, which has jacked up per unit cost from Rs19 to around Rs30 per unit, indicating an unprecedented hike of 50 percent. “This is not the end of the story as this increased electricity base tariff of Rs30 per unit will obviously be subjected to 17 percent Sales Tax, Excise Duty and Income Tax as well and when all these components are combined, an unbearable minimum impact in between 65 percent to 80 percent, would appear in the electricity bills”, he noted, adding that if electricity tariffs continue to go up at same pace, the per unit tariff may reach somewhere in between Rs55 to Rs65 in the next couple of months.

    READ MORE: Political parties responsible for Pakistan economic crisis: KCCI

    Touching upon another important aspect which has raised the cost of doing business for industries, he informed that variant tariffs have once again been restored for the industries under the policy of Peak and Off-Peak Hours which was suspended in the past and a uniform tariff was applicable throughout the day so that the industries could carry on their production at full capacity without any interruption.  “The restoration of peak and off-peak hours is going to create a very difficult situation for the industries as they will either have to curtail their production or suspend operations during peak hours and then reengage labour for resumption of pending work during the remaining non-peak hours which happens nowhere around the world but only in Pakistan where such mess usually surfaces due to poor decisions and policymaking by NEPRA which never listens to consumers and only fully facilitates DISCOs.

    He appealed the Prime Minister to look into NEPRA’s matters as many decisions taken by NEPRA were purely against the consumers and in recent history, the regulator has never favored the consumers. As consumers’ point of view was never being taken seriously at the so-called public hearing, NEPRA rules must be redefined and a consumer representative must also be included in NEPRA’s penal for Public Hearings.

    He further noted that the industries of Karachi were paying at least Rs10 more than what was being charged from the industries in Peshawar which was a sheer discrimination and clearly gives an impression that policies were being devised in such a manner that the industries in Karachi close down units on their own and move to somewhere else.

    READ MORE: Karachi Chamber demands declaring rain emergency

    Expressing deep concerns over restoration and increase in Fixed Charges, Zubair Motiwala stated that this was unacceptable as it would further increase the cost of doing business because fixed charges were applicable as per load on operational and inoperative industries who, instead of being encouraged to reactivate operations, will be compelled to stay closed. “It is an imprudent move which was neither in favour of businesses nor the economy as it would refrain the industrialists from reactivating their closed units. Hence, the government must withdraw Fixed Charges to encourage industrialization and ensure creation of maximum employment opportunities.

    Chairman BMG demanded that as the entire country suffers badly due to flash floods and all the cities, villages, highways and markets are completely flooded with rainwater hence in this extraordinary situation, the government should come forward and provide relief by pardoning electricity bills for a period of at least two months with a view to support the affectees during the relief and rehabilitation activities which could last during the next two months or may be more.  In this regard, any industrial, commercial or domestic consumer with an electricity bill of less than Rs2 million must be pardoned from payment of bill for two months while the electricity bills of other industries must also be deferred at least for three months so that they could take some sigh of relief and reach a point where they are able to settle their outstanding bills, he said, adding that the deferred bills can be charged later in shape of three equal monthly instalments along with current bill from fourth month onwards which would be widely welcomed as it will minimize the burden on industrialists to some extent.

    READ MORE: KCCI demands release of stuck up containers

    General Secretary BMG AQ Khalil demanded that as KE’s agreement was about to expire in 2023, the government must look into the possibility of ending KE’s monopoly by unbundling the utility service provider and pave way for more players in the power generation and distribution sector.

    President KCCI Muhammad Idrees was of the opinion that this huge impact of around 80 percent in the electricity bills was totally unbearable and unabsorbable by any industry hence, it has to be immediately withdrawn as it was impossible to run any industry at such an inflated cost.

    “The industries are already in deep crises because of the devaluing rupee, inflationary trends and eroding buying power of common man whose electricity bills have also been raised higher by at least three times”, he said, adding that neither any industry nor shops or public will be able to bear this burden in the present circumstances.