Auto policy encouraging but imperfect: FPCCI

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Tuesday said recently announced Automotive Development Policy 2016-21 is encouraging but far from perfection. The policy announced after delay of three years claims that it encourages new manufacturers to enter the market while promoting the latest technologies but it seems difficult in the current scenario, President FPCCI, Abdul Rauf Alam said.
In a statement he said Pakistan has been using substandard petrol called RON 87 for past twenty years while the rest of the world except Somalia uses RON 92, RON 94 etc which is not only environment friendly but also save repair costs. Abdul Rauf Alam said the consumption on petrol in country is up to 17,000 tonnes per day in which almost 55 percent is consumed by motorcyclists that deserve fuel of better quality and a cleaner environment. Continued import of substandard fuel has pushed away international suppliers from Pakistani market leaving government depended on few suppliers with no competition, he noted.
The president FPCCI said oil industry should invest in technology up-gradation, storage enhancement and import quality fuel to save cost of masses and industry which is already facing heavy losses due to increasing share of fake and substandard lubricants. He said the government should advance soft loans to refineries that are unable to bear costs of processing quality fuel while proposal to allow sale of petrol of various qualities must be rejected as it will lead to adulteration which is against the interests of masses.
Reducing share of substandard lubricants and introducing quality fuel will result in renewed interest of foreign investors in Pakistani market, he said. Rauf Alam said some companies are making cars and motorcycles according to Euro specifications while many businessmen are importing latest cars but masses are forced to buy low quality petrol which is amazing. Quality fuel is a bit costly but reducing oil prices. International market has made it viable for common people without whom the quality of locally manufactured cars may remain questionable, he said.