ISLAMABAD: The Senate Standing Committee on Commerce has invited the Federal Board of Revenue (FBR) to explain the situation arising out of unchecked smuggling of a number of products from neighbouring countries.
The Senate Commerce Committee met here with Shibli Faraz in the chair and the chairman observed that smuggling of fruits, vegetables and other items from Iran and Afghanistan was the result of inefficiency of the Pakistan Customs Department. Therefore, the FBR must explain the situation before the committee in next meeting, he added.
The committee observed that unchecked smuggling of fruits and vegetables from Afghanistan and Iran were affecting 95 percent people in Balochistan whose prime occupation is agriculture. These fruits and vegetables include apples, grapes, onions and dates. Iranian traders are only paying 5 percent to enter Pakistan through Afghanistan.
The committee formed a sub-committee to look into the loss inflicted on the local farmers living in areas adjacent to Afghan and Iranian borders due to smuggling of fruits and vegetables from both the countries and report back to committee in two weeks.
The committee also urged the government to avoid further delaying the approval of Strategic Trade Policy Framework (STPF-2015-18) because non existence of the STPF was damaging exports of the country.
Speaking on the occasion, Minster for commerce Khurram Dastagir stated that Pakistan had different policies for Afghanistan and Iran related to trade but with Iran Pakistan government was waiting for the lifting of sanctions on Iran so Pakistan government could initiate trade gradually with Iran.
On the issue of declining exports, the committee was briefed that Turkey had imposed additional duties on various products across the world and it had reduced the exports of Pakistan of fabric, ready-made garments and polythene. The consumption of oil in Pakistan had increased by 30 percent.
Secretary Commerce Shahzad Arbab told the committee that no response had been received as yet from Prime Minister’s office regarding STFP 2015-18. However, that the ministry is all set to implement the trade policy as soon as it gets a nod from PM.
