Who is advising PM?
Karachi – News Alert Business Desk
The premier body in cotton trade, KCI has whemently opposed the proposed budget provision for imposing general sales tax on cotton.
The traders are found perturbed over the advisors of the prime minister asking who is this who want to destroy the cotton and textile industry. The growers do face a lot of problems and the priorities are getting changed gradually. If such a policy of taxation, heavy taxation and burdening the sectors of agriculture and manufacturing then who would invest in Pakistan, a leading businessman asked. It looks as Dr Hafeez Shaikh and Shabbar Zaidi who are calling the shots are not at all aware of agro economy of Pakistan. Such a policy would ruin Pakistani businesses and ultimately the fate will hang in balance for PTI government. People of Pakistan, general consumers in particular are suffering hard on account of super inflation in the country.
Cotton traders are opposing the government’s proposal of imposing 10% sales tax on raw cotton at the local stage in the federal budget for 2019-20 in a bid to generate revenues.
In a statement, the Karachi Cotton Association (KCA) rejected the proposal of imposing sales tax on raw cotton, saying it would discourage production, prevent a smooth flow of exports and counter the government’s policy of promoting cotton trade in the country.
It was of the view that any hurdle in the way of smooth cotton exports would also prevent growers from getting a fair price for their produce, which was a key objective of the government.