Trade, industry need low cost energy for high growth: PIAF


The Pakistan Industrial and Traders Association Front (PIAF) Mian Nauman Kabir has said that industries need low cost energy to bring down their cost of production, keeping their goods competitive in the international market.
In a joint statement PIAF senior vice chairman Nasir Hameed and vice chairman Javed Siddiqi said Pakistan exports cannot compete with China, Bangladesh and India where power tariffs were 7-9 cents, as the country’s exports may witness a major setback in present days due to high cost of electricity, which has become a major stumbling block in industrial development and boosting exports. They said that fuel and electricity are regarded as the lifeline of any economy and play a pivotal role in socio-economic development of a country.
They observed that the government, in present circumstances, would have to reduce the price of electricity along with the cut in the prices of petroleum products to bring down the cost of doing business and to promote industrial activities.
PIAF senior vice chairman said that business activities were already in decline and in this situation the government should take serious steps to cut the cost of doing business, as recent hike in oil rates would further enhance the cost of production, making transport more expensive. While rejecting the recent massive increase of energy rates, he urged the government to withdraw the decision of hike in prices of petroleum products, as the move will hit the industry hard.