Home Business APBF rejects mini-budget declared through additional duties

APBF rejects mini-budget declared through additional duties

APBF rejects mini-budget declared through additional duties

(Lahore: APBF Oct 21th, 2017) – LAHORE: The All Pakistan Business Forum has rejected the imposition of additional regulatory duty on import, saying the government neither can impose any duty nor enhance taxes without the approval of the parliament. The regulatory duty was imposed by the government on 797 items including industry raw material without taking the business community on board who are the real stakeholders.

 

APBF president Ibrahim Qureshi said that this is not the right way to curtail trade deficit, rather it is just a mini-budget announced in half way of the financial year.

He said that the government should not have enhanced the import duty on industry raw material and inputs for manufacturing of local products as it would cause further dip in exports due to rise in production cost.

Ibrahim Qureshi said that the APBF had been calling for consultation before imposition of such duty but authorities did not bother to approach the stakeholders in this regard and imposed the decision unilaterally. He said that imposition of additional regulatory duty on various essentials is nothing else but to encourage smuggling of goods like chemicals and tyres that is already damaging the economic base of the country.

He said that additional regulatory duty will increase the prices of even necessary raw materials and other essentials for the trade and industry. He said that the APBF always supports reduction of luxurious item’s imports but also demands that imports of those raw materials and goods should not be hampered that are not being manufactured in the country.

Ibrahim Qureshi said that the decision shows lack of planning on the part of the policy-makers, creating problems for business activities and putting extra burden on the masses.

He said the additional regulatory duty on several eatable items including fruits and vegetables would increase import bill, widening trade deficit further instead of controlling import.

Terming it an unwise decision, which would unleash a new wave of inflation in the country, he said the move will affect growth of business activities.

APBF president said that the rising trade deficit poses one of the most serious challenges for the government, as the last fiscal year saw the trade deficit rise to an all-time high of $32.58 billion, representing year-on-year growth of 37%. When the government came to power in 2013, the country’s annual trade deficit was $20.44 billion. It has been continuously on the rise since then.

Imports recorded a growth of 37% to $4.84b in July from $3.54b a year ago. The overall import bill rose 18.7% to $53 billion for 2016-17 but overall exports fell 1.63% to $20.45 billion in 2016-17.

Must Read

Mobilink Microfinance Bank joins the coveted global club of ACCA Approved Employers

Mobilink Microfinance Bank Ltd. (MMBL), Pakistan’s largest digital bank, has been recognized as an Approved Employer for its outstanding employee development and training initiatives...

TECNO brings exciting discount offers on Daraz Mobile Week 2021

Lahore – Friday, June 18, 2021: TECNO brings exciting offers for the fans on the Daraz Mobile Week 2021. There will be up to...

vivo Introduces Amazing Offers for Daraz Mobile Week 2021

vivo presents amazing offers to its customers in collaboration with Daraz.pk for Daraz Mobile Week 2021 starting from June 16, 2021. The customers are...

Jazz partners with Sinch to secure A2P messaging for its mobile subscribers

Sinch’s Managed SMS Firewall and A2P Services to deliver spam and fraud protection for 69 million Jazz subscribers     Islamabad – June 16, 2021: Sinch AB...

realme Brings Jaw Dropping Discounts on Daraz Mobile Week 2021

Lahore, Pakistan – Thursday, June 17, 2021: The month of June is getting more excited for realme fans as the company has brought in fantastic...