Lahore: President of the Lahore Chamber of Commerce & Industry and head of 13-member delegation to Iran Mian Nauman Kabir said that strong trade and business ties with Iran will not only help Pakistan’s economy, but will also lead to greater stability and economic prosperity in the region.
The LCCI chief expressed these views during the meetings with Rice Importers Association, LPG Exporters Association, Acting Deputy of Export Market Development Alley Tabatabai and President Iran Cahmber of Commerce, Industry, Mines and Agriculture Gholamhossein Shafeie on second day of the visit to Iran.
Mian Nauman Kabir said that Iran is important economy of Middle East while Pakistan secures ideal geographical location in South Asia. He said that both the countries are abundant with natural and human resources and a strong economic partnership would be equally beneficial for the two countries.
He said that Iran and Pakistan have always enjoyed smooth development of friendly and neighborly relations as well as mutually beneficial cooperation. We take Iran as an important neighbouring country and a potential trading partner. We have been maintaining strong cultural and diplomatic relations with brethren country of Iran.
Mian Nauman Kabir said that both the countries have large domestic markets and unique geo-strategic competitive advantages.
He said that no one can deny the importance of regional integration and its fruits in terms of expansion in trade. EU, ASEAN and NAFTA are the shining examples. Now is the time that we should revive the Economic Cooperation Organization (ECO). ECO was established in 1985 with the aim to strengthen economic, social and cultural relationships. Unfortunately, it could not serve its purpose. Serious efforts are needed to develop medium term and long term plans for free market access, common markets and large business ventures.
He said that there is no formal and authentic trade data available as a lot of undocumented trade is going on between Pakistan and Iran. It is the fact that some economic embargoes and lack of sound Banking Channels are the prime causes of such a low trade volume. We are of the view that both countries should set up their respective financial institutions to support mutual trade. It is also a high time for Pakistan and Iran to make progress in Barter Trade mechanism for facilitating trade. Rice for LPG barter can definitely be a good option in this connection.
Mian Nauman Kabir said that tourism is another area of cooperation. He recommended that Iran should offer special deals and packages for the Pakistanis who want to visit holy places in Iran. This can boost the Iranian tourist industry as well. Special trains and buses should be started for pilgrims during holy months. Likewise, we welcome tourists from Iran to visit our Northern areas which are considered few of the beautiful places-to-visit in the world.
“At LCCI, do have excellent working relations with various eminent Iranian chambers of commerce including Iran Chamber of Commerce, Mashhad Chamber of Commerce, Isphahan Chamber of Commerce, Shiraz Chamber of Commerce and Tehran Chamber of Commerce etc”, the LCCI President quoted. The LCCI delegation also visited Roudaki Foundation
Caption of the attached pic
LCCI President Mian Nauman Kabir is presenting souvenir to President Iran Cahmber of Commerce, Industry, Mines and Agriculture Gholamhossein Shafeie.
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LCCI for withdrawal of tax exemptions in FATA/PATA
Lahore, February 22 – The Lahore Chamber of Commerce & Industry has expressed deep concern over misuse of tax exemptions by the industries in FATA/PATA and urged the government to take immediate notice of the issue.
While talking to the heads/representatives of different trade and industrial associations, Acting President of the Lahore Chamber of Commerce & Industry Mian Rehman Aziz Chan said that the misuse of tax exemptions by the industries based in erstwhile FATA/PATA is hampering the competitiveness of industries based in Punjab.
He said that the Federal Board of Revenue has granted Sales Tax and Income Tax exemption to industries based in erstwhile FATA/PATAin 2018 on imports of certain raw materials for their consumption under SROs 889(I)/2018, 890(I)/2018 and 1213(I)/2018. In a recent development, the exemption of FED has also been granted to the industries based in erstwhile FATA/PATA w.e.f 1st July 2021.
Mian Rehman Aziz Chan said that these raw materials are imported and sold in Punjab which results in heavy Tax Evasion. This misuse is seriously hurting the regular industries based outside FATA/PATA especially the Foam Industry and Steel Melters etc.
He said that apart from FATA/PATA, other parts of the industry are paying around Rs. 100 billions taxes. He said that because of tax exemptions given to the industries in FATA/PATA has resulted in 30% reduction in the production of the industries in other parts of the country.
The LCCI Acting President said that the tax exemptions to the FATA/PATA industries should be withdrawan immediately. He mentioned that the amount of tax exemptions is around Rs. 30 billion. The government should withdraw the exemptions and spend this amount for the promotion of Information Technology and Education sectors in FATA/PATA to produce skilled human resources.
On the occasion, the representatives of Pakistan Steel Melters Association, Pakistan Steel Re-rolling Mills Association, Pakistan Steel Long Pipe Manufacturers Association, All Pakistan Foam Manufacturers Association and Pakistan Vanaspati Manufacturers Association also demanded withdrawal’s of tax exemptions in FATA and PATA.
