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Pakistan LPG Marketers Association has urged the government to take notice of unchecked incoming of LPG through Taftan border and huge profiteering by the LPG dealers who are playing havoc with the consumers.
While addressing a meeting of the association, Chairman PLMA Farook Iftikhar said that not only LPG marketing companies are on the verge of collapse but consumers are also suffering because of smuggling and unchecked import of low-quality LPG that is dangerous for health and is also producing environmental issues. He said that mis-declaration in weight and smuggling are causing huge loss to the national exchequer but dealers are busy in profiteering.
Farooq said that government would have to take prompt action against both excessive imports of LPG and smuggling.
He said that locally produced LPG costs LPG Marketing Companies around Rs100,000 per ton as local producers of LPG and marketing companies are paying 17% General Sales Tax besides Petroleum Development Levy of Rs4669/MT and also incur substantial operational expenses and additional Sales Tax, while low quality off spec imported LPG is being delivered by importers mafia to LPG plants all over @ Rs83000/- per MT as they are paying Nil Regulatory duty, and 10% sales tax only.
He said that stocks of local LPG producers and marketing companies are piling up as low quality LPG is being sold at much less price as compared to locally produced product.
Iftikhar also said that importers manipulate weight at customs as well, besides importing low quality and adulterated LPG which is not only affecting sale of local good quality LPG, but is also creating severe environmental and health issues amongst the low income citizens of the country. He stated that Ministry of Petroleum & Ministry of Finance despite all our efforts are not taking serious notice of this issue which is causing continuous financial loss to the national exchequer.
He also said that curbing import of low quality, spurious and adulterated LPG injurious to human health will also help in lessening LPG related accidents from happening as most of these accidents take place when LPG is transported in all types of substandard bowsers carrying more LPG than approved under the policy.
He also demanded that same duties and taxes should be imposed on local and imported LPG to ensure level playing field for all.

Copyright Business Recorder, 2019

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