High Production Costs Damaging Pakistani Exports – Research Snipers

High Production Costs Damaging Pakistani Exports

Engineer Muhammad Saeed who is the President of Faisalabad Chamber of Commerce & Industry said that export is declining due to an increase in cost production.

Saeed addressed a number of traders belonging to various groups at Anjuman Tajran’ and said: “Now, we have been left with only option to restrict our export related activities and focus only on the domestic markets to survive in this changed environment.” There were officials in the meeting from auto parts, food, confectionery, installments, flour mills, power looms and sizing industries. He further said

“We are fighting for their rights, in addition to playing our fundamental role as a bridge between the government and business community.”

On the economic condition of the country, his views were

“It is the outcome of the policies of previous governments who bitterly failed to resolve the problems confronted by the business community.” He acknowledged that during Zardari’s era Pakistan encountered worst energy crisis.

“No doubt, Nawaz Sharif government ensured a continuous supply of electricity and gas but the price escalation in its price made our exportable surplus uncompetitive in the International markets”, he added.

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Also, he addressed the issue of variation in gas prices in different provinces, in Punjab gas rate is Rs1000 per MMBTU in comparison to Rs600 MMBTU in Sindh.

A term ‘unilateral decision-making’ was used by Saeed by which he meant that salaries of workers were raised without referring with the concerned stakeholders. Though increasing Rs1000 in pay is negligible but as industrialists are going through a rough patch for years this negligible amount matters a lot.
What he proposed is that government should provide employees with subsidy instead of raising their salaries. Time has proved that raising salaries have just increased poverty and inflation. SO the government should work in collaboration with stakeholders and then come up with necessary policies.
FCCI President said in the end, “We must create consensus and make collaborated efforts to foil the nefarious designs of anti-Pakistan elements.”