ISLAMABAD: The recent notification of the Ministry of Commerce as per subject SRO with regard to the import of cars under the gift and baggage scheme has resulted in total chaos in the market with all business coming to complete closure.
According to a letter sent to prime minister and other ministers concerned, All Pakistan Motor Dealers Association has claimed that as result of the new regularity duty imposed by the government in Pakistan the overseas Pakistanis have been greatly disturbed. Besides, the used car dealers in Japan, England and UAE etc are also in great difficulty due to this SRO as all shipments and clearance have stopped. This will also stop all revenue inflows.
It may also be considered that the Automotive Development policy of March 2016 lays down parameters for import of used cars under gift and baggage schemes. It is highly irregular that just after 1 year new policies are being introduced.
Requesting suspension of the SRO-1067(1)/2017, the association said that the initiative will directly affect the livelihood of hundreds of thousands of people associated with this work all over Pakistan and abroad.
The motor dealers claim that the hike in duty will result in loss of revenue to the government to the tune of Rs 60 to 70 billion.
The fresh measures will also cause in increasing the monopoly of local assemblers and public will be denied their right of buying a good quality vehicle of their choice and affordability. The prices of locally assembled vehicles are already increased in the market through large-scale black marketing (on money).
