Pakistan NA Committee Urges Fair Auto Competition

The Pakistan National Assembly Standing Committee on Commerce has urged the significance of fair competition between used and new automobiles. Policymakers warned of the potential adverse effect to the foreign exchange reserves in addition to a decline in the local production industry when an unbridled commercial imports were permitted. The session, which was presided over by MNA Muhammad Jawed Hanif Khan at the Parliament House, targeted the vehicle import policy of Pakistan, the district chambers of commerce and the Pakistan-US Tariff Agreement.

In the process of negotiating the import policy, industry participants raised the issue of licensing by the Engineering Development Board because it was thought that licensing should be carried out by the Ministry of Commerce. Some of the measures outlined by the secretary of the ministry were the vehicle age limits, revised tariff schemes, environmental restriction measures, and amalgamation of extant schemes. After discussions, the committee directed the matter to the ministry of industries to review the issues in details especially on electric vehicles imports with the committee to submit findings in the next meeting.

With regard to chambers of commerce, members observed that centralization at the Karachi Chamber of Commerce and Industry (KCCI) posed a problem to entrepreneurs. Having more than 350,000 enterprises in Karachi, the committee recommended the setting up of district level chambers to decentralize the services, and widen the tax base. Representatives of KCCI will also be invited to the following session in order to express their opinion.

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The committee examined also the Pakistan-US Tariff agreement highlighting that policies of the country regarding industries and businesses should be more focused on transparency, merit and the good of the country. Pakistan NA Committee renewed its mandate to collaborate with all stakeholders in order to come up with balanced and practical solutions to grow trade and industry.