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The data published by the State Bank of Pakistan (SBP) in its annual report for 2014 has been found wanting or discovered to be ineffective or controversial. According to Siddique Misri, Chairman, Pakistan Association of Automotive Parts & Accessories Manufacturers (PAAPAM), SBP in its annual report for 2014 inserted a special section 2.1 titled "Comparison with India: Where Does Pakistan Stand in Automobiles Production?"
SBP argued that "A comparison of average retail prices in Pakistan and India indicates significant disparities in prices in all engine capacities". Besides comparing the prices in both countries (as in the year 2012), claiming them to be "in Pak Rupees", he said.
He further said that PAAPAM members expressed dissatisfaction as SBP had failed to convert the prices of Indian cars listed in from Indian rupee to Pak rupee. The exchange rate during the year 2012 between both currencies was 1.7547. Hence the SBP has suppressed the Indian Car prices by 75.47 percent to claim that Pakistani-assembled vehicles are much more expensive than their Indian counterparts
Car prices in India as claimed by SBP (in Pak rupees) are Rs 247,500 (800cc), Rs 446,700 (1000cc), Rs 702,300 (1300cc) and Rs 1,230,000 (1800cc). He said that SBP prices must be converted at exchange rate of 1.7547 to arrive at Pak Rupee parity price. Senior Vice Chairman PAAPAM, Mumshad Ali, cited that, Pakistan vehicles were actually cheaper than Indian assembled vehicles. PAAPAM has written a letter to the SBP, demanding to rectify its mistake that, according to it, has tarnished the image of the Pakistan Automobile Industry.

Copyright Business Recorder, 2015

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