KARACHI (INP): The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Sunday strongly opposed promoting foreign industry at the cost of local industry saying it will result in closures, loss of jobs and revenue.
Vice President FPCCI Qaisar Khan Daudzai said that the decision to reduce duties on import of steel should be reviewed as it will damage the local industry which is already struggling to survive.
Talking to a group of large steel producers, he said that giving relaxation to the local industry will attract investment and reduce the price due to competition which will make construction etc. economical and help boost construction package of the PM.
Qaisar Daudzai said that local steel industry cannot compete with the steel producers of other countries as the overall situation and cost of doing business in the top ten steel producing countries that include China, India, Japan, US, South Korea, Russia, Germany, Turkey, Brazil and Iran are better than Pakistan.
On the other hand, he said, steel producers in Pakistan are facing many problems like the high cost of doing business, high tariff, extraordinary energy cost, competitiveness, lack of structural reforms and institutional support etc.
The VP FPCCI said that giving free hand to foreign companies will not only bankrupt many local producers who have invested billions but also stoke unemployment, uncertainty, reduce revenue and stop further investment while the steel imports to fill the gap will cost an additional one billion dollars.
The overall situation must be improved before exposing the local industry to compete with foreign players, he demanded.