Approves Kamyab Pakistan Programme, draft policy directives for NGMS auction in AJK, import of 200,000MT sugar, non-cash settlement for power sector re-lent loans against Rs116bn subsidies
TLTP
ISLAMABAD
The Economic Coordination Committee (ECC) of the federal cabinet has approved an increase of Rs150 per 20kg bag of flour, Rs17 per kilogram of sugar and Rs90 per kilogram of ghee at the outlets of Utility Stores Corporation (USC).
Finance Minister Shaukat Tarin chaired the ECC meeting on Friday.
The ECC approved the revision in prices of three essential commodities namely wheat flour (20kg bag) to Rs950, ghee (per kg) to Rs260 and sugar (per kg) to Rs85, respectively, “owing to an increasing gap between the subsidised prices offered by USC and the prevailing market prices.”
The secretary industries and production presented a summary regarding extension of the Prime Minister’s Relief Package-2020 providing subsidies on five essential commodities from 15th July 2021 to 30th September 2021 till the Enterprise Resource Planning (ERP) system becomes fully operational.
The ECC approved a summary tabled by the Power Division regarding non-cash settlement for power sector re-lent loans against subsidies payable by the government equal to Rs116 billion.
The ECC approved Kamyab Pakistan Programme, which will extend micro-loans to entrepreneurs and farmers under “Kamyab Karobar’’ and “Kamyab Kissan’’ schemes respectively. The programme will also provide low-cost housing loans through NAPHDA.
The Kamyab Pakistan Programme also includes an ongoing skill development programme for educational and vocational training under the title “Kamyab Hunarmand”. It aims at extending loans to four million households at the lowest strata, as registered with the National Socio Economic Registry (NSER) of Ehsaas.
The salient features of the Kamyab Pakistan Programme include loan size of Rs150,000 (per crop) for purchase of agricultural inputs. The commutative disbursement under the programme would be Rs1.6 billion over the period of three years. It shall benefit 30,00,000 families.
The ECC also approved the draft policy directives related to auction of Next Generation Mobile Services (NGMS) in Azad Jammu & Kashmir (AJK) as submitted by the Ministry of Information Technology and Telecommunication before the Committee. This is the first time that the NGMS will be auctioned in AJK and it will improve mobile broadband services in the region.
Moreover, the ECC also decided that for the payment of the auctioned licence fee, the method in-vogue in the earlier auction processes will be followed.
The Ministry of Maritime Affairs presented a summary regarding award of Engineering Consultancy Service contract for up-gradation of Port Qasim Authority (PQA) amounting to Rs86.6 million. The ECC approved the execution of the project.
The ECC allowed Post Qasim Authority, Karachi Port Trust and Gwadar Port Authority Boards to transfer their marine assets to the Pakistan Marine and Shipping Services Company Private Limited (PMSSC), a subsidiary of Pakistan National Shipping Corporation. The maximum rates to be charged by the Pakistan Marine & Shipping Services Company (PMSSC) from the public sector ports and harbours shall be determined from time to time by the Ministry of Maritime Affairs through a notification in the official gazette.
The Ministry of National Food Security and Research presented a summary regarding procurement of 200,000 cotton bales by TCP to promote cotton production and bring stability in the domestic market. The ECC also approved the formation of the Cotton Price Review Committee (CPRC) with a mandate to review market price and propose intervention on a fortnightly basis.
The ECC also approved a summary by the Ministry of Industries and Production for importing 200,000 metric tonnes of sugar to build strategic reserves and minimise the role of speculative elements in the domestic market. In case of need, more reserves will be built through import, the ECC decided.
The ECC approved the amendment in its earlier decision dated 19-02-2021 regarding the “Prime Minister’s” fiscal package for Agriculture in the wake of Covid-19 Kharif”. The package offered subsidy on DAP at the rate of Rs1,500 per acre for cotton and rice crops, during the Kharif Season 2021. Now according to the amendment, the farmers can avail subsidy on any phosphatic fertilizer according to their choice.
The ECC considered and approved a summary, presented by the Ministry of Commerce, regarding the elimination of documents attestation fee for goods imported into Pakistan from Kenya as this non-tariff measure (NTM) increases cost of business and transaction time. The said decision by the Committee would facilitate trade between the two countries and enhance Pakistan’s market share in the region.
