The Lahore Chamber of Commerce and Industry (LCCI) expressed optimism that the upcoming year would be year of economic growth but the government needs to take some decisive measures.
While talking to a group of businessmen, the LCCI office bearers; President Irfan Iqbal Sheikh, Senior Vice President Ali Hussam Asghar and Vice President Mian Zahid Jawaid Ahmad said that government should expedite public-private consultation to achieve the desired economic goals in upcoming year. They said that consultation would also boost the confidence of private sector. The energy, water, mark-up, utility prices and bureaucratic hurdles should be the areas of focus for the government during the next year, they said.While underlining the recent gas crisis, they said that energy should be available to the consumers throughout the year instead seasonal basis. During the year 2020, uninterrupted supply of gas and electricity to the consumer should be one of the top priorities. It is a matter of management as there is no dearth of natural gas in the country. Most of the industrial units use gas as a major source of energy for their production therefore its unavailability is causing huge loss to the economy, they said. This issue can be tackled through good management, they said.
The office bearers hoped that while keeping in view the ground realities and economic challenges, the State Bank of Pakistan would bring down mark-up rate to a single digit during the year 2020. They said that reduction in mark-up rate from existing 13.25 percent to single digit would be a great favour to the industrial sector. It would help the government to attain the target of industrial growth, would reduce the cost of product and would also bring capital of the banks into circulation, they added.
At present, high energy prices are a major concern for the industrial sector which is combating various internal and external challenges, they said adding that the investment by the government in energy sector will give huge benefits to the country in many counts therefore immediate action should be taken in this regard and investment should be promoted in hydel power projects as it is the cheapest source of energy.
They urged the government to take right moves to give a quantum jump to the exports as these are hazardously low despite the fact that country has all resources to become an Export Power House. They blamed lack of value addition, poor marketing, least interest in accessing new markets for Pakistani merchandise, high cost of doing business and bureaucratic hurdles for below-the-level exports and called for rectification measures. Major part of Pakistan's exports, particularly minerals, are in raw shape which is causing huge loss to the national exchequer as finished goods can earn more foreign exchange than the raw materials. They said that this target can be achieved through investment in technology, skill enhancement and research and development.
They underlined the need for good marketing techniques to dig-out large number of foreign buyers for Pakistani products which are best of best quality in the world but are struggling due to lack of proper marketing. The urged the Pakistan's Foreign Missions abroad to establish display centers for Pakistani goods besides organizing single country exhibitions for Pakistan products to secure due place in the global market. "Display centers as well as cultural centers would highlight the industrial strength of the country around the globe while cultural centers would attract the foreigners to discover beauty and heritage of this beautiful piece of land" they said.Presently, the foreign missions of the developed countries are playing the role of "Economic Ambassadors" for their respective countries; therefore the Pakistani mission should also follow them to strengthen trade ties.Meanwhile, Irfan Iqbal Sheikh lauded the recent development in NAB laws saying that it would be a good favour to the businessmen and would boost their confidence.
Copyright Business Recorder, 2019
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