Farmers to bear brunt of GIDC row

The government and fertiliser industry’s row over gas infrastructure development cess (GIDC) dues will have an adverse effect on farmers as urea prices may rise up to Rs400 a bag.

It may be mentioned here that the government has urged the fertiliser industry to pay their long-standing GIDC dues within 24 months while the later insists over an extension of eight years to complete the payment in instalments.

Talking to local media, Fertiliser Manufacturers of Pakistan Advisory Council (FMPAC) Executive Director Brigadier (r) Sher Shah Malik said that the issue was getting prolonged due to the government’s unwillingness to solve the matter amicably.

“They are refuting all proposals which stakeholders put forward,” he said, adding that a prolonged legal battle would result in serious consequences leading to food insecurity.

“With a population growth rate of 2pc, we are going to have a 50pc additional population to feed by 2040,” he warned.

He also negated the government’s accusation that the industry had collected billions in bills from customers, something that was reflected in the financial statements of the GIDC defaulters, saying that financial statements only reflect the amount accrued as payable whereas the amount was never collected from the customers.

 

- Advertisement -
- Advertisement -

Must Read

Petroleum division set to finalize sale of ENI Pakistan

The Petroleum Division has prepared a summary to seek Prime Minister’s necessary approval regarding the effective change of control from ENI Pakistan to Prime...