Sarhad Chamber of Commerce & Industry (SCCI) rejected national budget 2006-07, saying it contains nothing for industrialists and trading communities of the country.
Commenting on the federal budget, SCCI president, Ghazanfar Bilour said that no doubt the budget is a welfare one comprised of facilities for agricultural and construction sectors of the country. However, none of the longstanding demands of the business community was accommodated in the budget document.
He also expressed dismay over the levy of 0.2 percent tax on stocks and said that the decision of the government would promote black marketing in the country. Similarly, he said that the levy of 5 percent tax on house rent is also very much high and proposed cut on it. Furthermore, he said that cut in the general sales tax (GST) was the longstanding demand of the business community and they were also expecting decrease in the head but it is a matter of surprise that the issue was not touched.
Welcoming the duty free import of tractors for agricultural sector with broken heart, the SCCI chief said that the decision would hit the tractor manufacturing industry of the country.
Bilour appreciated the decision regarding the expansion of the network of utility stores, cut in inflation rate and increase in per capita income and announcement of free education up to intermediate level in the country. Similarly, he said that the provision of free textbooks up to middle standard would also help promote education in the country. He also appreciated the exemption of senior citizens of the income tax and duty free import of machinery and cut in duties in a number of items.
Adeel Rauf, a former president of the chamber termed it as public and private sectors' employees friendly budget as the salaries of both sectors have been increased.
Zia-ul-Haq Sarhadi, chairman Frontier Customs Agents Group NWFP welcomed the simplification of the procedure of reconditioned vehicles. He expressed the hope that the decision would go a long way in the elimination of the monopoly of the domestic automobile manufacturers. Furthermore, he said that the conditionally of the permission of five years old vehicles would also bring positive impact on the industry.
He also castigated federal budget for lacking the announcement to facilitate exporters through duty drawbacks and subsidies. He said that cut in the duties on various imported goods would help discourage the menace of smuggling.
Haji Aftab Iqbal termed the sanction of Rs 4 billion for the provision of clean drinking water to the people of the whole country insufficient and said that the government should have sanctioned at least Rs 25 billion for the subject to prevent people from the deadly water borne diseases.