Karachi (PR): Haji Fazal Kadir Khan Sherani, President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), has strongly supported the stance of the National Assembly (NA) Standing Committee on Finance regarding the matters of under-invoicing of Chinese goods and smuggling along the Pak-Iran border and the performance of the Federal Board of Revenue (FBR). In this connection, the President said that the Federal Board of Revenue must take immediate measures to arrest this alarming trend, which was disastrous for the country’s industry.
Quoting the example of imports from China that was raised by the Committee, he said that China had declared exports of $12 billion to Pakistan , but FBR’s records apparently showed only $4 billion of imports. This begged the question as to where the missing $8 billion of goods were going. He said that the menace of under-invoicing had made local industry uncompetitive, leading to the shut down of small manufacturers, who could not compete with the onslaught of cheap imports.
At the same time, the smuggling of goods from Iran had dealt a further blow to local industry. Citing media reports in this regard, he said that more than 10,000 bags of plastic granules per day were being smuggled from Iran to Pakistan , but FBR had not taken any substantive steps to curb this nuisance.
While the country is already facing crucial shortages of energy, dwindling foreign investment and political uncertainty, the addition of rampant smuggling and under-invoicing to the list is the cause of further trouble to the beleaguered business community. Therefore, the Government must take measures to address these issues to provide local industry some relief.