ISLAMABAD (May 29 2004): Industries Ministry has proposed that manufacturers having self-generation permission should be allowed to adjust input tax on diesel used in power generation.
They demanded of the State Bank to allow available National Saving Schemes (NSS) instruments as security for taking loans for industrialisation.
It proposed that one-window operation facility be introduced in Social Security, Employees Old Age Benefits (EOAB) and Labour Departments.
Moreover, industrial land may be specified and separated from agricultural/residential land. Only designated areas with adequate infrastructure facilities may be declared as industrial estates, heavy transport vehicles and other public transport may be converted into compressed natural gas (CNG), which will help in cleaning the environment.
The mark-up rates of SME bank should to be brought down to the range of 8 percent to 12 percent, which was proposed by the SMEs and cottage industry. Wide range of industry incentives have also been proposed.
The proposals came under discussion include:
a) Hotel industry should be exempted from entertainment duty levied by the provincial governments and Cantonment Boards. (Proposed by the Hotel Owners Association).
b) To allow export to Iran via land route. (Proposed by the APCMA).
c) To allow manufacturers having self-generation facility to claim input tax adjustment on diesel used for power generation as allowed to the KESC and Wapda. (Proposed by denim sector).
d) State Bank of Pakistan (SBP) had withdrawn 5 percent redemption vide circular of March 2002. Special US dollar bonds renewed in November-December 2001 earlier than the issuance of circular should be entitled for 5 percent rupee redemption bonus on maturity at the time of their encashment. (Proposed by denim sector).
e) In order to encourage foreign as well as local investment, 800 projects should be preferred and encouraged. (Proposed by ports and shipping sector).
f) SBP should allow available National Saving Schemes (NSS) instruments as security for taking loans for industrialisation that presently have been limited up to Rs 1 million only. (Proposed by FPCCI).
g) Industrial land may be specified and separated from agricultural/residential land. Only designated areas with adequate infrastructure facilities may be declared as industrial estates.
h) Heavy transport vehicles and other public transport may be converted into CNG, which will help in cleaning the environment. (Proposed by GCCI).
i) One-window operation facility be introduced in Social Security, Employees Old Age Benefits (EOAB) and Labour Departments. (Proposed by RCCI).
j) The poplar wood is banned for export due to its use in sports goods and safety match industry, but this wood is being exported by peeling off its skin to do away with its identity. (Proposed by SCCI).
k) In Gadoon Amazai Industrial Estate a substantial investment has been made in textile sector. Most of the industries have arranged captive power plants to ensure uninterrupted power supply. Recently, natural gas has been provided, but its pressure is too low to run the power plants. (Proposed by SCCI).
l) Build up an image slogan for Pakistan encompassing vision of Pakistan, remarkable growth registered by the industrial sectors and investment opportunities.
Advertisements should be run on the printed and electronic media to project the image-building slogan. Vision of Pakistan needs to be the part of advertising policy of every government department. (Proposed by BASF).
m) A committee should be formed in the Industries and Production Ministry to create awareness about the opportunities offered by Safta and WTO and impart information/knowledge to the business community regarding export potential in the region that have remained untapped due to lack of information. (Proposed by BASF).
n) Declare cities for other sectors on the pattern of textile cities. (Proposed by BASF).
o) Independent sources may be used to gather pricing information or the government may utilise the services of commercial counsellors in Pakistani embassies to assist in providing the price information for customs evaluation. (Proposed by ICI).
p) The SRO 487 (I)/2003 to purchase imported soda ash at 30 percent higher price
than declared value may be revised to 10 percent to discourage under-invoicing. (Proposed by ICI).
q) Adulteration to be checked vigorously through effective monitoring. The introduction of SRO 21A, which restricts the packing of pesticides by the importers instead of distributors, has alleviated the problems of adulteration. (Proposed by pesticides sector/PCPA).
r) Establishment of quality control boards both at the
federal and provincial levels. (Proposed by Pesticides sector/PCPA).
s) The multinational participation be encouraged in other industrial sectors as in case of automobile industry on the pattern of India, China and Japan. (Proposed by light engineering sector).
t) SME sector is faced with ageing problem as far as technological upgradation and skills development are concerned. This has led to closure of many SME's in Punjab. Measures need to be taken to address this national loss. (Proposed by light engineering sector).
u) To develop institutions to impart knowledge on value addition through production root analysis. (Proposed by light engineering sector).
v) Polytechnic institutes should be established for development of skilled manpower. (Proposed by light engineering sector).
w) To develop institutes at Gujranwala, Sialkot, Faisalabad, Wazirabad and Gojra, etc, to impart knowledge about export markets of their products. (Proposed by light engineering sector).
x) Emphasis be given to high value-added technologies to strengthen the export base. (Proposed by light engineering sector).
y) Industrial area of Islamabad should be given due importance for proper planning.
z) PITAC should be revitalised on priority basis as it has been mismanaged in the past. (Proposed by light engineering sector).
aa) The concept of finishing schools should be introduced to impart training to fresh graduates on mannerism, talking skills, presentations and other basic skills. (Proposed by light engineering sector).
bb) Due to high mark-up rates of SME bank, the SMEs are to benefiting from the loan facilities. The mark-up rates should to be brought down to the range of 8 percent to 12 percent. (Proposed by SMEs and cottage industry).
cc) The annual disbursement of Rs 4 billion from Zakat Fund by the Punjab government at the rate of Rs 500 to Rs 700 per person per month is being wasted and also hurts the ego of the individual. This amount of Rs 4 billion can be utilised for establishing cottage industry by giving loans from Zakat Fund, thus, generating thousands of jobs for women.
(Proposed by SMEs and cottage industry).
