ISLAMABAD: The cabinet has setup an inter-ministerial committee to be headed by Minister for Privatization, Daniyal Aziz for formulating recommendations for changes in Produce Index Unit (PIU) to Loans for Agriculture, Commercial and Industrial Rules, 1973.
In a cabinet meeting held under the aegis of Prime Minister Shahid Khaqan Abbasi on January 16th, 2018 was apprised by Finance Ministry that one of the initiatives announced by ex-Finance Minister Ishaq Dar in budget of current financial year was linked to increase of PIU from Rs4,000 to Rs5,000, reported Business Recorder.
Sources shared to enforce this initiative, the following changes had been suggested in Loans for Agriculture, Commercial and Industrial Rules, 1973 in rule 5, in sub-rule (2), for the words “four thousand” shall be inserted with words “five thousand”.
Cabinet was informed the draft notification had been screened by Law and Justice Division and the Cabinet Committee for Disposal of Legislative Cases (CCLC) in a meeting held at start of November 2017. During the meeting, it was proposed the draft notification be forwarded to the cabinet for approval.
In course of the meeting, it was noted PIU was fixed at Rs4,000 in 1973 and it was prejudiced to raise it to Rs5,000 after a gap of so many decades, which harmed the agrarian economy.
Some cabinet members suggested instead of PIU, DC or market rate should be adopted as a basis for giving loans to agricultural sector. And the members observed, the matter was quite complex and requires further deliberation.
The committee constituted has been directed to prepare and submit its report within two weeks to the cabinet.
