Value added export sector wants implementing of power tariff cut
KARACHI: The value added export oriented industrial sector of the country has urged the authorities responsible for the implementation of the power tariff cut to ensure deduction of Rs 3 per unit for industries, as announced by Prime Minister Nawaz Sharif.
Members of Pakistan Tanners Association (PTA), Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA), All Pakistan Marble Mining Processing Industry and Exporters Association (APMMPIEA) and Karachi Chamber of Commerce and Industry (KCCI) said that reduction in electricity prices would provide relief to the industrial sector that was trying to survive. A country’s economic survival needs a business friendly environment.
They demanded the government to take steps for overcoming the power crisis because it was becoming impossible for the industrialists to meet their export targets. Federal and provincial governments and other agencies concerned should also come forward and ensure the reduction in oil prices. The government had not given any price cushion to the consumers for many months despite the fact that oil prices have been falling constantly and currently it is as low as $45 per barrel. The industrial sector welcomed the rate cut despite suffering due to the over-burdened prices of utilities and industrial raw material.
PTA senior member Rehan Hannan said that the current situation was troubling the foreign-exchange earning industries and the increasing cost of utilities and inputs were causing closure of many value-added export oriented units across the country.
Another senior member Agha Saiddain said that the leather sector is longing for an announcement of a policy to revive the country’s economy and to avoid further loss of market share globally. The marble sector has the potential to grow at a higher rate if the power tariff was further lowered and regular supply ensured.
APMMPIEA senior member Sanaullah Khan said that there is a huge demand for marble and marble products in the international markets because of the country’s stone quality and expertise in making value-added products.
PRGMEA member Arshad Aziz said that the incentives provided to the exporters have increased under the Generalised System of Preferences. However, the tariff cut in power are welcomed by all industries in the country as this cut will soothe them to some extent, he added.