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Category: Trade & Industry

Trade & Industry news covering business developments, industrial growth, manufacturing trends, and economic policies shaping domestic and global markets.

  • Business community welcomes appointment of new Army chief

    Business community welcomes appointment of new Army chief

    KARACHI: Business community has welcomed the appointed of General Syed Asim Munir as the new Army chief of the country.

    In a message on Thursday Korangi Association of Trade and Industry (KATI) Patron-in-Chief SM Muneer, President Faraz-ur-Rehman, CEO of KITE Limited Zubair Chhaya, Senior Vice President Nighat Awan, Vice President Muslim Mohammadi along with the Executive Committee members welcomed the appointment of General Syed Asim Muneer as Chief of Army Staff and Lt General Sahir Shamshad Mirza as Chairman of Joint Chiefs of Staff Committee by the Prime Minister Shehbaz Sharif.

    READ MORE: APTMA demands restoring controversial SRO for sales tax refunds

    SM Muneer acknowledges the services of the outgoing Army Chief General Qamar Javed Bajwa and said that he made Pakistan proud as the army chief.

    Paying tribute to Qamar Javed Bajwa, SM Muneer said that the credit goes to him for the historic achievements of removing the country from the gray list of FATF, and hunting down India’s fighter jet invading Pakistan territory.

    READ MORE: PYMA urges government not to impose regulatory duty on yarn

    SM Muneer said that Syed Asim Munir is the best choice for Army Chief and has an excellent professional career.

    President KATI Faraz-ur-Rehman said that the newly elected Army Chief General Asim Muneer was top in seniority among the four-star generals, he headed important departments like Corps Commander Gujranwala, ISI and Military Intelligence and showed high service.

    READ MORE: Industries threaten mass protest against gas supply shutdown

    President KATI said that the new army chief is a credible figure in the Pakistan Army and the nation has hopes high for him. Faraz-ur-Rehman further said that General Asim Muneer will be the first Army Chief to be awarded the sword for superior performance during training, while he set a new example by memorizing the Holy Quran at the age of 38 as a colonel.

    Rehman further said that after the best decision by the Prime Minister of Pakistan, there is hope that the political crisis will end in Pakistan and the country will move towards economic stability.

    READ MORE: Pakistan organizes first international housing expo next month

    Zubair Chhaya, CEO of KITE Limited welcomed the appointment of General Syed Asim Muneer as Chief of Army Staff and Lt. Gen. Sahir Shamshad Mirza as the Chairman of Joint Chiefs of Army Staff and said that Lt. Gen. Sahir Shamshad Mirza has been related to Sindh. Mirza fought and eliminated the terrorists in North Waziristan. Lt. Gen. Sahir Shamshad Mirza also played an important role in intra-Afghan negotiations.

  • APTMA demands restoring controversial SRO for sales tax refunds

    APTMA demands restoring controversial SRO for sales tax refunds

    KARACHI: All Pakistan Textile Mills (APTMA) has demanded the tax authorities to restore a very controversial SRO for settlement the issue of sales tax refunds.

    The textile millers demanded the FBR to restore SRO 1125(I)/2011 i.e. zero rating for the textile value chain to enable the industry to survive and maintain export momentum.

    Gohar Ejaz, Patron In Chief, APTMA, in a letter to Prime Minister Shehbaz Sharif, apprised about an important matter, which resulted in a massive loss of exports as well as significant increase in unemployment.

    READ MORE: APTMA urges PM to save textile industry from total closure

    “Approximately 60 per cent of the industry has closed or is on the verge of closure primarily due to an extreme liquidity crunch.”

    He said that the association had held a series of meetings with the ministry of finance and the ministry of commerce and the FBR starting June 2022 wherein the restoration of SRO 1125 (zero rating) was discussed.

    “We request the government to restore 1125 i.e. zero rating for the textile value chain to enable the industry to survive and maintain export momentum in these extremely difficult circumstances,” he added.

    READ MORE: APTMA demands immediate release of textile machinery

    Sources in the Federal Board of Revenue (FBR) said that the SRO 1125 was rescinded after reports of mega fraud cases by misusing the notification by various quarters.

    The Federal Tax Ombudsman (FTO) in a suo moto case in May 2019 directed Federal Board of Revenue (FBR) to conduct audit of all manufacturers who availed the benefit of SRO 1125(I)/2011.

    The FTO observed that the review of sales tax registration rules and risk score weightage assigned to the risk parameters employed in the registration process which lead to misuse of ‘manufacturer’ status by registered persons for the purpose of tax evasion.

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

    The FTO further observed that the FBR vide SRO 494 (I)/2015 dated June 30, 2015 showed that the IRIS based Sales Tax Registration module failed to timely incorporate the provisions of revised registration rules.

    “The requisite changes in IRIS were incorporated after nine months vide SRO 227(I)/2016 dated March 21, 2016.”

    The FTO observed that the FBR had failed to take timely action in integrating the registration modules in IRIS system thereby providing opportunity to the unscrupulous elements to take advantage of the weaknesses in the registration procedure of the sales tax department.

    “Moreover, modification in the registration module was carried out after nine months of the revision of sales tax registration rules, but evidently no exercise was carried out by the field formation to verify that the existing manufacturers were registered in conformity with the provisions of revised rules.”

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

    The FBR through Circular No. 01 of 2019 dated July 26, 2019 explained that SRO 1125(I)/2011 dated 31.12.2011, relating to zero-rating of five export-oriented sectors, has been rescinded since July 01, 2019 vide rescinding SRO 694(I)/2019 dated 29.06.2019.

    From July 01, 2019, the items listed in the said SRO shall be charged to sales tax at 17 per cent at import and local supply. Only in case of integrated retail outlets, sales tax on finished textile and leather item shall be charged at 14 per cent.

    All STGOs granting zero-rating on supply of electricity, gas, diesel, furnace oil and coal have been rescinded vide STGO 100/2019 dated 29.06.2019. In order to resolve the issue of increased sales tax refunds of exporters due to withdrawal of zero-rating on inputs, the scope of Expeditious Refund System is proposed to be extended with automated payment on generated RPOs.

  • PYMA urges government not to impose regulatory duty on yarn

    PYMA urges government not to impose regulatory duty on yarn

    KARACHI: Pakistan Yarn Merchants Association (PYMA) has appealed Prime Minister Shahbaz Sharif and Finance Minister Ishaq Dar to not impose Regulatory Duty (RD) on imported Yarn.

    The association has learnt that government was in process of imposing 5 per cent RD on import of Yarn on the pretext to discourage the import of Yarn, which was the raw material of the textile sector in Pakistan. Government should remember that we are importers of Polyester Filament Yarn, which is the main raw material in Pakistan’s textiles, and Yarn is not a finished product.

    READ MORE: Industries threaten mass protest against gas supply shutdown

    In an emerging press conference held at Karachi Press Club, Former Chairman of Pakistan Yarn Merchants Association (PYMA) Mohammad Usman, Senior Vice Chairman Sohail Nisar, Vice Chairman Javed Khanani humbly submitted that Government was intending to impose RD while mistakenly treating Yarn as a finished item. On this occasion, Senior Vice Chairman FPCCI Suleman Chawla and former Chairman Saqib Goodluck were also present.

    ‘‘No Regulatory Duty should be imposed on the import of yarn to save traders from ruin. In this regard, PYMA leaders should be given an appointment so that the government can be informed about the complete facts and figures before taking any decision”, they requested.’’

    READ MORE: Pakistan organizes first international housing expo next month

    PYMA leaders also gave details of all the figures to the media in a briefing. Muhammad Usman, Sohail Nisar, Javed Khanani, Suleman Chawla and Saqib Goodluck appealed to the government to maintain the current duty structure of yarn and y not imposing RD on imported yarn to protect local textiles sector.

    They Pointed out that the imposition of RD will have a direct impact on inflation in the country and worsen the situation. On the other hand, Yarn manufacturers will increase their prices according to the land cost of imported yarn, which in turn will increase the price of finished textile products and have a double effect on inflation.

    READ MORE: APTMA urges PM to save textile industry from total closure

    PYMA Leaders said, ‘‘This can lead to other industrial problems. He said that Yarn manufacturers could not capture the market due to low quality and high cost of production despite the huge difference in duty structure. We are of the opinion that instead of imposing RD, efforts should be made to increase effective productivity.’’

    READ MORE: Reducing foreign currency cash carrying limits to half criticized

    They added that Cotton has been replaced by Yarn and the textile industry in Pakistan is mostly dependent on imported Yarn. We want to make it clear that if the government implements RD by considering Yarn as a wrongly manufactured item, it cannot be saved from destruction.

  • Qatari envoy highlights FIFA World Cup 2022 arrangements

    Qatari envoy highlights FIFA World Cup 2022 arrangements

    KARACHI: Consul General of Qatar Mishal Mohammad Ali Al-Ansari has highlighted arrangement for FIFA World Cup 2022 in Qatar, kicking off this Sunday November 20, 2022.

    During his visit to Karachi Chamber of Commerce and Industry (KCCI), Qatari CG informed that the State of Qatar was ready to welcome friends and visitors from around the world which will kicks off this Sunday, November 20th, and the matches will take place in eight outstanding stadiums in which Qatar was expecting more than 3 million spectators who will be in Qatar to watch this historical event.

    “A lot of work has been done to prepare, overprepare and go beyond to make sure that everything goes on smoothly. All sectors including security, hotels, rooms and transportation etc. have been fully covered while Pakistan Army’s staff is also part of the security team”, he said, adding that to be on the safe side, three cruise ships have also been booked of which two have already arrived in Qatar to accommodate visitors in case all the hotels in Qatar were fully booked.

    He said: “These gigantic cruise ships comprising of 26 floors and having 1,000 rooms each are already docked whereas thousands of luxurious tents having rest rooms and bed rooms have also been established in the desert as it is a totally different world cup in which all the matches will be played in eight stadiums situated in one city and away at a distance of half-an-hour from each other.

    “Of course, it’s going to be a month of festivities and the people have already started pouring into Qatar from Argentina, Brazil and Europe so it’s a big party scene now.”

    Qatar stood in solidarity with the people of Pakistan during this year’s flashfloods and torrential rains. “As our sympathies are for those who have lost their livelihood, several Qatari aircrafts carrying hundreds of tons of emergency relief aids arrived in our brotherly country under the directives of His Highness Sheikh Tamim bin Hamad Al Thani and the humanitarian support from Qatar continues to date which demonstrates our commitment.”

    Qatar is Pakistan’s thirteenth biggest trade partner and in 2021, the bilateral trade volume between the two brotherly countries was over $2.73 billion which continues to show steady growth.

    “Qatar and Pakistan have well established relations which are based on shared religion, culture, abilities and geographical proximity”, he added.

    Referring to last year’s meeting in August in Diwan-e-Amiri, Doha between Qatar’s Emir Sheikh Tamim bin Hamad Al Thani and Prime Minister Shehbaz Sharif, he said that both leaders besides stressing on the importance of brotherly and strategic relations, expressed aspirations to enhance economic partnership, bilateral trade exchanges and investments promotion through Qatar Investment Authority. “In this regard, Qatar Investment Authority announced to invest US$3 billion various commercial and investment sectors in Pakistan.”

    President KCCI Mohammed Tariq Yousuf, Senior Vice President Touseef Ahmed, Vice President Muhammad Haris Agar, Former President Majyd Aziz and KCCI Managing Committee Members were also present on the occasion.

    President KCCI Mohammed Tariq Yousuf, while welcoming the Qatari Consul General, stated that Pakistan and Qatar enjoy strong, bilateral, social, political & economic relationship. “Pakistan has sent over 1.1 million workers abroad during the last three years despite COVID-19 pandemic, out of which 53,000 plus workforce were exported to Qatar”, he noted, adding that both countries must work together to develop capacity building of Pakistan’s skilled workforce to match the requirements of employers abroad with a view to improve remuneration for Pakistani expatriates.

    He said that trade volume between both countries has skyrocketed to new heights as compared to previous years on account of the LNG supply agreement. “We urge Qatari investors to invest in Pakistan’s petroleum industry to develop the LNG domestic market which holds tremendous opportunities for foreign investments.”

    Tariq Yousuf urged that as Qatar was one of the top Liquified Natural Gas (LNG) suppliers in the world and Pakistan was currently facing severe energy crises, Qatar’s authorities must supply LNG to Pakistan on a priority basis to address the shortages.

    Underscoring the need to strengthen bilateral economic cooperation through enhanced interaction between private sectors, he noted that Pakistan’s exports to Qatar stood at $196.6 million in FY22 as compared to $149.8 million in FY21, reflecting growth of over 31% on-year-on-year basis while Pakistan’s imports from Qatar appreciated to $2.68 billion in FY22 as compared to $1.32 billion in FY21, reflecting growth of over 100 percent on-year-on-year basis.

    Urging Qatari investors to explore the opportunities available in CPEC, he said that Pakistan has tremendous investment opportunities in Energy, Transport Infrastructure, Gwadar, Socio-Economic Development, Science & Technology & Agriculture Cooperation.

    “Qatari investors can capitalize on advancing energy-related cooperation, promoting trade and investment ties, exploring opportunities & joint ventures in Pakistan’s energy, aviation, agriculture and livestock, maritime, sports & hospitality sectors, which will pave way for further strengthening Pak-Qatar economic relationship.

  • Industries threaten mass protest against gas supply shutdown

    Industries threaten mass protest against gas supply shutdown

    KARACHI: Industries have threatened the government of across the board protests against suspension of gas supply, which halted industrial activities and is affecting exports.

    Karachi Chamber of Commerce & Industry (KCCI) and Industrial Town Associations, while expressing deep concerns over suspension of gas supply to the industries in Karachi, stated that all the industries were almost closed and the pressure was zero, resulting in bringing the production activities to a complete standstill which would give a serious blow to the exports by terribly affecting the performance of export-oriented as well as general industries, besides triggering massive unemployment and creating chaos.

    READ MORE: Pakistan organizes first international housing expo next month

    In a joint statement, KCCI along with Site Association (SAI), Korangi Association (KATI), F.B Area Association (FBATI), North Karachi Association (NKATI), Site Superhighway Association (SSAI) and Bin Qasim Association (BQATI) appealed Prime Minister Shehbaz Sharif and Energy Minister Shahid Khaqan Abbasi to take notice of the situation and look into the possibility of supplying RLNG to SSGC for domestic usage as being done in case of SNGPL so that the gas crisis being suffered by the industries in Karachi could be averted.

    They stated that the business & industrial community totally rejects gas supply curtailment announced by the SSGC and the Karachi Chamber along with Industrial Town Associations will shortly announce the future plan of action if relief was not provided immediately which may even lead to triggering across the board protests.

    READ MORE: APTMA urges PM to save textile industry from total closure

    Referring to SSGC’s statement in response to a joint press release issued on November 11, 2022 by KCCI and all seven industrial town associations, they said that a meeting was held between SSGC and federally constituted committee comprising representatives of industries from Karachi who gave numerous suggestions, of which one of the suggestion was to either close down gas supply to industries for two day a week or carry out gas load shedding for eight hours a day so that SSGC could maintain its line pack and the industries receive gas for 16 hours a day at required pressure so that they could keep on operating efficiently.

    However, this unfortunately, was not done and later on, without taking the stakeholders on board, SSGC issued a notification/ letter to industries about suspension of gas supply which contained several ambiguities as in the said letter, SSGC has issued a caution for future as well by saying that every year gas supply will remain suspended. Subsequently, it has also been notified that 50 percent of gas supply to captive power plants will also be curtailed without explaining that what will happen to those industries who do not have KE connection or any other source and the process of gas supply suspension to general industries has also not been properly explained.

    READ MORE: Reducing foreign currency cash carrying limits to half criticized

    SSGC must refrain from giving misleading statements in the media by sharing those decisions which were neither discussed nor agreed upon by the federally constituted committee in any of the meetings held to discuss gas crisis, KCCI and Industrial Town Associations urged, adding that several meetings were held in this regard but without taking us into confidence, SSGC has issued improper notification.

    KCCI and Industrial Town Associations, while once again urging the government to take notice, stated that the overall situation was really alarming in Karachi which would terribly affect industrial performance, exports and have a deep negative impact on the economy due to rampant unemployment as suspension of gas for three consecutive months would obviously cause massive layoffs and massive reduction in exports.

    READ MORE: KATI suggests Pakistan, Sri Lanka trade in local currency

  • Pakistan organizes first international housing expo next month

    Pakistan organizes first international housing expo next month

    ISLAMABAD: Pakistan is organizing first international housing expo to be held in Islamabad next month.

    The housing expo will be jointly organized by the federal ministry of housing and works and Islamabad Chamber of Commerce and Industry from December 08 to 12 this year. Prime Minister Shehbaz Sharif will inaugurate the event as Chief Guest.

    A delegation of Islamabad Chamber of Commerce and Industry (ICCI) led by its President Ahsan Zafar Bakhtawari held a meeting with Iftikhar Ali Shallwani, Secretary Ministry of Housing and Works here Monday.

    The two sides discuss and agreed to finalize the arrangements for organizing the first International Housing Expo in Convention Centre, Islamabad.

    Speaking at the occasion, Iftikhar Ali Shallwani, Secretary, Ministry of Housing and Works said that Prime Minister Shehbaz Sharif is keen to promote affordable housing in Pakistan and he will inaugurate the Expo as Chief Guest.

    He said that all the major international and national developers, builders and real estate enterprises would be invited to display their projects in the Expo. He said that the Expo will help in attracting local and foreign investment to Pakistan and revive the economic activities in the country.

    He said that the government plans to provide affordable housing to low income people and the Expo will make positive progress towards this goal.

    He said that sessions on housing needs (realities, options, action), low cost housing, funding and financing frameworks for housing, regulation for housing sector, rehabilitation, climate resilient housing, public-private partnership and other topics will also be organized on the sidelines of the Expo.

    He hoped that the collaboration between the Ministry and the ICCI for the forthcoming IHE-2022 would be helpful in making the Expo a landmark event.

    Ahsan Zafar Bakhtawari, President, Islamabad Chamber of Commerce and Industry in his remarks said that the housing and construction sector stimulates the business activities of over 50 allied industries and organizing the Housing Expo will boost business activities in all sectors of the construction industry. It would also generate a lot of employment and improve the economy.0

    He said that many investors are interested in construction of high rise buildings in Islamabad and urged the Capital Development Authority (CDA) to amend its building bylaws to encourage vertical constructions, which would offer the best solution to tackling the affordable housing options in the federal capital and across the country.

    He urged that FBR to give at least one-year extension to the ongoing construction projects under the amnesty scheme of the previous government for their smooth completion.

  • APTMA urges PM to save textile industry from total closure

    APTMA urges PM to save textile industry from total closure

    KARACHI: All Pakistan Textile Mills Association (APTMA) has urged Prime Minister Shehbaz Sharif to save export oriented textile industry of Sindh and Balochistan from total closure due to denial of gas.

    In a statement issued on Monday, APTMA Chairman Zahid Mazhar, Southern Zone has urged the Prime Minister of Pakistan, Mian Shahbaz Shareef and the Chief Minister of Sindh, Syed Murad Ali Shah for their intervention to save export oriented textile industry of Sindh and Baluchistan from total closure due to denial of gas from November 15, 2022 to February 28, 2023.

    READ MORE: APTMA demands immediate release of textile machinery

    Zahid Mazhar said that the export oriented textile industries of Sindh and Baluchistan are contributing more than 54 percent in total exports of Pakistan have been served notices of gas closure without taking in confidence the real stakeholders in respect of gas closure for three and half months even though the two provinces are producing more than 80 percent of gas produced in the country.

    He further said that due to extremely low gas pressure and frequently unavailability it is very difficult for the export oriented textile industries located in Sindh and Hub Industrial Area to run the mills and fulfill their export commitments well in time.

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

    Zahid Mazhar further said that the textile industry is an export oriented industry running on 24/7 basis and almost all of our member mills are using natural gas as fuel for generation of electricity to meet their energy requirements and or to run their processing units.

    Hence if they will be forced to consume only 50 percent of their load, they will not be able to run their mills smoothly and fulfill their export commitments on time resultantly they would not only lose their hard earned foreign buyers as well as the foreign exchange earned by the country through exports would also be curtailed which is the need of the hour.

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

    He said that APTMA member mills are very much disturbed after receipt of SSGCL’s notices of gas closure for three and half months. He further said that gas closures for export oriented textile industry would be the last nail in the coffin of the economy of Pakistan and resultantly Pakistan would lead to default in payment of the foreign obligations and the currency rate would deteriorate further and reach a point of no return.

    Chairman APTMA Southern Zone said that the government should take appropriate measures to ensure gas supply to export oriented industries, instead of complete gas outages, which would lead to a huge decline in exports and revenue, closure of industries, and layoffs.

    READ MORE: APTMA demands continuation of energy tariffs

    Zahid Mazhar urged the government and gas supply companies to provide gas first to export oriented industries including textile to run their mills without any disruption so that they can fulfill their export commitments in time otherwise they would be compelled to shut down their mills resulting in massive decline in foreign exchange earnings through exports and increase in unemployment which will result in a law & order situation.

  • Reducing foreign currency cash carrying limits to half criticized

    Reducing foreign currency cash carrying limits to half criticized

    KARACHI: Syed Usman Ali Chairman Towel Manufactures Association (TMA) of Pakistan has strongly criticized the State Bank of Pakistan (SBP) for reducing cash carrying limits of foreign currency for international travel.

    While expressing deep concern over decreasing of limit of foreign currency as Travelling Cash, urged the State Bank of Pakistan (SBP) to enhance the limit to US$. 15,000/- per visit and US$ 90,000/- Annually.

    The State Bank of Pakistan (SBP) had halved the cash-carrying limits on foreign currency for international travel to $5,000 from $10,000 per visit.

    In a letter to the Governor of State Bank of Pakistan, Chairman TMA pointed out that revised limits for travelers will provide huge distress to the Business Professionals especially the Exporters, those who were visiting abroad to bring Foreign Exchange into the country.

    These Business Professionals/ Exporters usually stay in Hotels of various cities through extensive travelling to bring export contracts in Pakistan which is not possible through this short limit of foreign currencies.

    “In view of the support of the Business Professionals/ Exporters, Chairman TMA requested the Governor State Bank to enhance the limit to US$. 15,000/- per visit and US$ 90,000/- Annually (Equivalent Foreign Exchange) rather than decreasing in travelling cash to distress them.”

    Syed Usman Ali also requested the Ministry of Finance and Prime Minister of Pakistan to take immediate action and facilitate the business community in strengthening the trade and economy of Pakistan.

  • KATI suggests Pakistan, Sri Lanka trade in local currency

    KATI suggests Pakistan, Sri Lanka trade in local currency

    KARACHI: Korangi Association of Trade and Industry (KATI) Monday suggested Pakistan and Sri Lanka should trade in local currency to ease pressure of exchange rate.

    KATI President Faraz-ur-Rehman said that both countries can avoid foreign exchange pressure by trading in local currency. Trade delegations should be formed to increase trade. In this regard, cooperation between the businessmen of the two countries is much needed.

    READ MORE: No tax amnesty, no tax rate cut under IMF program: FBR chief

    He presented this suggestion during a meeting with Consul General of Sri Lanka Jagath Abeywarna who visited KATI.

    Consul General of Sri Lanka Jagath Abeywarna has said that the promotion of trade between Pakistan and Sri Lanka in the textile, leather and pharmaceutical sector is possible. Sri Lanka’s buyers can import goods from Pakistan instead of Europe will be more beneficial.

    READ MORE: FBR may withdraw condition of invoice, packing list in containers

    Similarly, Pakistan can avoid additional shipping costs by importing products including tea from Sri Lanka.

    Sri Lankan Consul General Jagath Abeywarna further said that the trade between SAARC countries is only 5 percent which needs to be further increased. He said that the time to import products from Sri Lanka is 4 days which could benefit both countries.

    Consul General Jagath Abeywarna has said that the bilateral relations between Sri Lanka and Pakistan are very friendly and are expected to become stronger in the coming days. The two countries are also enjoying excellent trade and diplomatic relations, but joint efforts are needed to promote bilateral trade. Consul General said that the combined trade volume is 400 million dollars, out of which Pakistan exports 300 million dollars to Sri Lanka and 100 million dollars from Sri Lanka to Pakistan.

    READ MORE: Customs Enforcement announces auction of vehicles on Nov 09, 2022

    He said that Sri Lanka’s major export items are tea and coconut which it exports to various countries and these items were exported to Pakistan worth 11 million dollars in 2021 while the income from the tourism sector is 3 million dollars.

    Faraz-ur-Rehman said that Pakistan is the second largest trading partner of Sri Lanka among the SAARC countries. President KATI said that Pakistani products, especially pharmaceuticals, textiles and leather, have a wide scope in the Sri Lankan market. Likewise, there are opportunities for trade in Sri Lankan tea, tiles, etc. Joint efforts should be made for bilateral trade of goods which will increase trade volume. Faraz-ur-Rehman said that the exchange of trade delegations between the two countries should be increased. KATI will fully cooperate in this regard.

    READ MORE: FBR auctions confiscated immovable properties on Nov 15, 2022

    KITE Limited CEO Zubair Chhaya said that both countries are going through a difficult period due to the global economic and political crisis. Pakistan and Sri Lanka are facing historic trade deficits and foreign exchange shortages. He said that the joint efforts of both countries to promote trade are the only development solution. In this regard, holding business-to-business meetings is very important.

  • No tax amnesty, no tax rate cut under IMF program: FBR chief

    No tax amnesty, no tax rate cut under IMF program: FBR chief

    KARACHI: The chairman of Federal Board of Revenue (FBR) Asim Ahmad on Saturday said that under ongoing program of the International Monetary Fund (IMF) the government committed for not granting any tax amnesty scheme and no tax rate cut.

    FBR chief was talking to business community at the Federation of Chamber of Commerce and Industry (FPCCI) during his visit to the Federation House.

    READ MORE: FBR may withdraw condition of invoice, packing list in containers

    He said that the government had agreed with the IMF for neither allow any tax amnesty nor allow tax rate cut under the loan program. “Therefore, all the stakeholders have to work together on the policy,” he added.

    The chairman admitted that under imports under Chapter 84 and 85 of Customs Act, 1990 was problem not only for the business community but it was also for the tax authorities as well. “Hopefully this issue will be resolved very soon,” he assured the business community.

    READ MORE: Customs Enforcement announces auction of vehicles on Nov 09, 2022

    Asim Ahmed said that FBR never wanted to stop the clearance of parts and machinery. “Because industrial activity ensures revenue collection for the country,” he added.

    The chairman said that tax officials were in touch with the business community to resolve the issues.

    He said that tax reform commission had started its work soon after Ishaq Dar assumed as the finance minister. The chairman also informed that the tax audit would be conducted once in four year.

    READ MORE: FBR auctions confiscated immovable properties on Nov 15, 2022

    The chairman said that the retailer and wholesaler sectors were not filing income tax returns, which was main hindrance in identifying true income. He said by enforcing the relevant tax laws on retail sector there was revenue potential of Rs20 billion. In contrast the tax authorities were able to collect only Rs6 billion from this sector.

    READ MORE: FBR issues circular to relax income tax return filing deadline

    On the occasion, Suleman Chawla, senior Vice President of the FPCCI said that business community was uncomfortable on the issues of return filing and selection of audit. These issues should be resolved on priority.