President of Karachi Chamber of Commerce and Industry (KCCI) Muffasar Atta Malik has requested Sindh Minister for Local Government Jam Khan Shoro to issue directives to Karachi Municipal Corporation (KMC) for immediate withdrawal of 20 percent increase in shop rent in KMC-owned markets announced last year which appeared in the Challans of January 2018. In a letter issued to the minister, KCCI president pointed out that hundreds of small traders/ shopkeepers whose business units/ shops are situated in 91 markets owned by KMC have approached chairman of KCCI Special Committee for Small Traders Abdul Majeed Memon for taking up this serious issue with concerned quarters as their shop rent has been raised exorbitantly.
KCCI president informed that in 2007, the then Karachi Mayor increased the shop rent by 50 percent while the transfer fee was also soared from Rs 5,000 to 25,000 and it was assured that the transfer fee and rent would not be increased further. However, KMC once again raised shops rent by 15 to 35 percent in 2015 which was followed by another 20 percent hike in 2017, making it impossible for majority of the shopkeepers to pay such an exorbitant rent.
Malik requested to withdraw 20 percent increase in shop rent and suggested that the shop rent should only be increased by 5 percent which should be applicable from January 2018 and this rent should be increased again by 5 percent after an interval of at least 3 years.
He said it has always been one of the top priorities of Karachi Chamber to pay special attention to the issues being faced by small traders/shopkeepers of the city as we firmly believe that these small traders are undoubtedly the backbone of our country.
"KCCI leaves no stone unturned to resolve their issues keeping in view the massive number of employment opportunities being generated by them and also their contribution towards the economic development of the country," he said.
Keeping in view the support and cooperation being extended by Sindh government to the business and industrial community from time to time, KCCI president was fairly optimistic that Sindh Minister for Local Government would certainly pay special attention to this issue and direct concerned officials to provide relief to perturbed small traders/ shopkeepers.
He said many of these shops at KMC markets are being run by those individuals who are vegetable and fruit sellers, cobblers, newspaper hawkers, carpenters, welders and motor mechanics etc., who simply are not in a position to pay such an exorbitant rent because of their limited earnings and they are hardly able to earn their daily bread and butter. Hence, he urged the government to refrain from creating further hardships for them as they are already overburdened in the ongoing era of inflation.