KARACHI: The local industry has earnestly demanded of the government to withdraw regulatory duty on import of those industrial inputs that do not fall under the category of luxury items. In a statement, the President Lasbela Chamber of Commerce and Indusry (LCCI), Yakoob H Karim said that the Federal Board of Revenue (FBR) has taken the decision blindly and without exemining the HS Codes to impose regulatory duty on import of various items that fall under the category of luxury items. He pointed out that some iron and steel products that either not manufactured in Pakistan or do not come under the luxury items, have been included in the list. He furher elaborated that flat-rolled products of iron (HS Code 7210) are not produced in Pakistan but are used as necessary raw-material in various sectors and used to manufacture crown and caps of bottles and massively used in pharmaceuticals, food, beverages, packaging and other industries and due to slapping of 5 per cent R.D on flat-rolled products the industrial cost would increase to about 15 to 20 per cent. “It’s not a luxury item and R.D can not be imposed on import on such items that neither produced locally or used as essential industrial raw-material”, Yakoob explained. He demaned of the FBR high-ups to immediately withdraw 5 per cent regulatory duty on flat-rolled products come under the harmonised code 7210.
LCCI chief said that FBR has recently issued SRO 121(1) under, which it has also imposed R.D at five percent on items besides flat-rolled products of iron or non-alloy steel, of a width of 600mm or more, cold-rolled (cold-reduced), not clad, plated or coated; flat-rolled products of iron or non- alloy steel, of a width of 600mm or more, clad, plated or coated. He said that the business community had already opposed the imposition of the regulatory duty. The FPCCI has also criticised the imposition of R.D stating such goods are raw material to produce crown and bottle caps and must not come under the axe of RD, Yakoob argued.
Industry condemns as FBR slaps RD on raw-material