Geo436.com blog: ECC directs TCP to import sugar

Geo 436 ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet, on Thursday, asked the commerce and industries ministries to submit a jointly prepared revised summary on import of five-year-old cars, buses, trucks and tractors with duty and tax concessions in its next meeting.

The ECC, which met in the Prime Minister's Secretariat under the chairmanship of Finance Minister Hafeez Shaikh, decided to exempt industrial units located in Karachi Export Processing Zone from five percent withholding tax on electricity bills.

Statistics Division Secretary Asif Bajwa and Additional Secretary Finance (Budget) Rana Asad Amin, while briefing the media on decisions taken by the ECC, said the meeting considered the summary submitted by the Ministry of Industries and Production and constituted a committee comprising ministers and secretaries of the ministry to submit a revised summary in its next meeting, which is expected on November 13.

The summary submitted by the Ministry of Industries and Production had sought permission for import of five-year-old cars, tractors, buses and tractors under the Transfer of Residence Scheme, Gift Scheme, and Personal Baggage Scheme. The schemes will enable the general public to buy these vehicles on competitive prices against the locally produced expensive ones.

Separately, ECC directed the Trading Corporation of Pakistan (TCP) to urgently deliver 0.6 million tonnes of sugar to the Utility Stores Corporation of Pakistan, and ensure import of 0.35 million tonnes more by December to counter artificial price hike.

The meeting approved provision of Rs 75 million to the KESC on a daily basis as a price differential between gas and furnace oil so that the company is able to produce electricity to its full capacity thus reducing the duration of load shedding in Karachi.

ECC also approved continuation of a subsidy of Rs.2.5 per litre on E-10 ethanol fuel for another six months. The decision was taken after reports that the blending of ethanol with petrol proved successful.

The committee deferred the approval of gas load management plan and constituted a committee headed by petroleum secretary and tasked it with submitting a report on actual gas shortfall in the industrial and commercial sectors within a week. ECC was informed that gas shortfall which stood at 568mmcfd per day presently would reach 917mmcfd during winter.

The meeting also approved provision of a $40 million Italian soft loan to the PPAF to carry out poverty reduction projects in Khyber Pakhtunkhwa, FATA and Balochistan.