Karachi (PR): Saquib Fayyaz Magoon, Chairman, FPCCI Standing Committee on Anti-Smuggling has appreciated the remarks of Supreme Court of Pakistan regarding rampant Smuggling of arms and ammunition into the country thus creating law & order situation in the country.
He disclosed that the smuggling of highly sensitive items i.e., arms, ammunitions, drugs etc,. takes place under the guise of general/commercial items thus beside making loss of revenue also creates National Security Threat and as such it is necessary to take appropriate measures to stop the smuggling of general products and thus to deter the smuggling of highly sensitive items. He also endorsed the remarks of Supreme Court of Pakistan that Diesel and petrol is coming from Iran through smuggling and selling openly in plastic canister illegally at various parts of the country.
The Chairman of the Standing Committee referring to a news item appeared in local dailies said that FBR is facing serious Shortfall of Customs Duty mainly due to wrong polices and measures that have been taken place in the recent Budget by the FBR wherein, genuine businessmen cost of doing business is increased exorbitantly mainly due to increase in rate of Sales Tax, cumbersome and complicated procedure in Income Tax and Sales Tax Law. He added that high rate of taxes and duties provide an incentive for tax evasion and under invoicing and as such smugglers have been provided incentive for promotion of smuggling which is evident from the fact that local markets are flooded with a smuggled goods reducing the share of indigenous products because they are neither required to pay any taxes and duty nor comply complicated documentation procedure thus rendering the genuine/legal importers uncompetitive.
Abdul Waheed Shah Senior Vice Chairman of the Standing Committee lamenting the outgoing smuggling of live stock from Pakistan to Afghanistan said that it is not only causing the Shortage of meat and milk but also hides and skins, a basic raw material consumed by the tanning industry for the production of the high value added leather and leather goods, which are main source of earning precious foreign Exchange for the country. Shortage of Meat and Milk has resulted out of Reach for common man in country.
FPCCI therefore, requested the FBR and other law enforcement agencies to take appropriate measures, both fiscal as well as administrative, including sealing of borders to curtail the smuggling of incoming and outgoing goods from Afghanistan-Iran-Pakistan borders, encourage legal imports and local production, safe guard the interest of indigenous industry, ensure availability of raw material to the industry and reducing shortage of food items in the country.