KARACHI: Atif Ikram Sheikh, President FPCCI, has urged the government to announce a comprehensive, effective and multi-sectoral winter package for trade and industry to mitigate and overcome challenges in industrial production.
The industries are in a dire need of facilitation, incentivization and cost-cutting measures to meet export targets through competitiveness in the export markets, he added.
Atif Ikram Sheikh apprised that the primary demand of FPCCI is Rs20/kWh electricity tariff for export-oriented industries as, at the moment, the biggest contributor to the cost of production and cost of doing business in Pakistan is electricity tariff; which also happens to be the highest in the region and, also the highest, as compared to competitors in the export markets.
He cautioned that any conditional eligibility criteria tied to incremental gas consumption, as was the case last year, would unfairly exclude and neglect many export-oriented industries.
Last year, several units did not have gas supply connections; which made it impossible for them to meet this conditionality, he explained.
Therefore, FPCCI demands that the government should offer the winter package without conditions – ensuring equal access to all export-oriented industries. This inclusive and transparent approach will boost exports, employment and economic growth. We urge the government to prioritize the well-being of all export industries; rather than creating unnecessary discrepancies and exclusions, he added.
Atif Ikram Sheikh assured the government that trade and industry remains committed to collaborating with the government to promote Pakistan’s economic growth and export competitiveness.
He elaborated that it is a win-win scenario; and, support to industries will help the country achieve substantial export growth; import substitution; shore up Foreign Exchange Reserves (FER); stabilize rupee-dollar parity and keep Current Account Deficit (CAD) in check.
FPCCI President also reiterated the apex body’s demands of renegotiating Power Purchase Agreements (PPAs) of all Independent Power Producers (IPPs) on take-and-pay basis; revitalizing privatization process of PIA; bringing key policy rate in single-digits and taking far-sighted macroeconomic policy measures for consistency in policies and promoting ease of doing business.
We, at FPCCI, have a futuristic, but practical, Vision 2030 to achieve exports target of $100 billion; and we need adequate governmental support to materialize it, he added.
Copyright Business Recorder, 2024
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