LCCI resents hike in gas prices

04 Jul, 2006

The Lahore Chamber of Commerce and Industry (LCCI) while vehemently condemning sharp increase in gas prices, has urged the government to withdraw the raise immediately if it wants to keep the wheel of the industry moving.
LCCI President Mian Shafqat Ali, Senior Vice-President Abdul Basit and Vice-President Aftab Ahmad Vohra said that gas is a local raw material so the government has no justification to increase its prices. They said that there are a number of sectors where the gas is major raw material and increase in the tariff would hit them badly. They were of the view that the government should ensure the participation of stakeholders in all such decision-making bodies that have a direct relation to the common people.
"Electricity and fuel prices had already become very expensive making it almost impossible for the industrialists to remain competitive in the international market.
They switched over to gas to keep the wheels of their industrial sector running as well as meeting the price and quality demand of the international buyers, but the time and again increase in gas prices would kick Pakistani industry out of competition in the international market. How come Pakistan could meet the target of export with expensive basic inputs," they averred.
The LCCI office bearers said that the recent hike would take the export prices of Pakistani goods to 6 to 7 percent up leaving Pakistani goods uncompetitive in the global market. "The question is if there is a shortage of the gas in the country than why the authorities do not import it from Iran and Central Asian States where the prices are almost half. The raise in gas tariff would destroy the major industrial sectors particularly at a time when the country has the competitors like China and India," they added.
According to them, on the one hand the government was striving for industrial growth while on the other it was making such unwise decisions, which would put negative impact on the economy. This step would definitely increase the production cost ands it would ultimately affect the common man.hails air links with Uzbekistan
LCCI President Mian Shafqat Ali, Senior Vice-President Abdul Basit and Vice-President Aftab Ahmad Vohra have welcomed the Uzbek government decision to restore direct air links between Pakistan and Uzbekistan.
They stated this while talking to Country Manager Uzbekistan Airways, Orifjon Ruzimurodov, here on Monday. The LCCI executive committee member Majid Abdullah was also present on the occasion.
The LCCI office-bearers were of the view that the restoration of air-link between Pakistan and Uzbekistan would help open up new vistas for the business communities of the two countries besides strengthening the bilateral trade relations. They said that the trade among regional countries is of prime importance.
According to them, the efforts of Pakistan President General Pervez Musharraf and President of Uzbekistan Islam Karimov need to be appreciated as the direct flight would definitely give much needed boost to the trade between the two countries.
Speaking on the occasion, Orifjon Ruzimurodov, promised to provide quality service to the business community of Pakistan. He also thanked the chairman Pakistan International Airlines for the co-operation extended by him for the restoration of air-link between the two countries.
Moreover, LCCI SVP Abdul Basit during his recent meetings with Australian government functionaries and businessmen, developed consensus for initiating joint ventures in a number of sectors including textiles, pharmaceuticals, wool, food items and coal.
According to a LCCI's spokesman, here on Monday, Abdul Basit, while talking to Philip Stone Howe of Australian Ministry of Trade and Pakistan's Consul General in Sydney Muhammad Azam, said that Pakistan is a land of opportunities with a high rate of return to all sorts of investments. He urged them to arrange a sector specific delegation of Australian businessmen to Pakistan.

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