The Economic Coordination Committee (ECC) of the Cabinet has sought a detailed report on the current concessions granted to sectors already recognized as industries, as part of its ongoing discussions to possibly extend industry status to the warehousing and logistics sector.
According to a news report by BR, this directive emerged during a recent ECC meeting, where the Ministry of Industries and Production presented a proposal to declare warehousing as an industry.Â
The discussion follows a directive from the Prime Minister after his meeting with the Karachi Chamber of Commerce and Industry (KCCI) on April 25, 2024. Business leaders highlighted various challenges, including the difficulties in securing industry status for the warehousing sector, which they believe is hampering business growth and investment.
The Ministry of Commerce had earlier received a formal request from the Warehousing and Logistics Association of Pakistan to recognize the warehousing and logistics sector as an industry.Â
The Ministry of Industries and Production emphasized that the warehousing sector’s advanced supply chain solutions and technical services are integral to business development, exports, and overall economic growth.Â
Historically, the federal government had granted industry status to ten different sectors between 1990 and 2009, with the last such recognition occurring before the 18th Constitutional Amendment in 2010, which devolved industry-related matters to provincial governments.
The ECC was informed that various stakeholders, including the Ministries of Communications, Commerce, Finance, and Law and Justice, as well as the Board of Investment, have expressed support for the proposal. However, the Federal Board of Revenue has yet to provide its input.Â
The governments of Punjab, Khyber Pakhtunkhwa, Sindh, and the State of Jammu and Kashmir have shown no objections, while the Government of Balochistan raised concerns about whether the sector fits the provincial definition of an industry.
