Budget 2011-12: problems of business community should be taken into account: SCCI

President Sialkot Chamber of Commerce and Industry (SCCI), Ghulam Mustafa Chaudhry has said the government should take into account the problems faced by the business community before announcing the federal budget 2011-12. It is high time that they must set right their priorities for the promotion of the industry and business for ensuring hurdle free productivity and generate employment in order to improve economy, he said.
Talking to media persons on Friday he said that the country was passing through a difficult period in terms of economy, law and order and social base adding that element of uncertainty has gripped the entire country. There is sense of frustration and despair among the people, the main reasons are inflation, corruption and deteriorating quality of life. Health and education facilities are expensive, justice is denied and necessities of life unavailable or available at sky-high prices, he said. It is now preparing the budget 2011-12 and can facilitate the people and the business by announcing necessary relief package, he added.
The SCCI president further said that the government's prime objective should be to keep supreme the interest of the common man by announcing relief package in the Federal Budget 2011-2012. Price control of commodities, rational utility rates and power supply should be main theme of the budget for providing relief to the people who are struggling for sustenance and are praying for energy supply.
Chaudhry added that a fair taxation system by widening the tax base and nurturing a culture of voluntary tax payment should be established. The tax system should encourage industrial growth and tax incentives aimed at promoting SMEs growth should be considered. The budget must be pro people and pro industry and an economic revival of the country should be the ultimate objective.
He said that the government has already announced 2011 as the year of exports. In order to give practical shape to this decision, business and export friendly policies must be the top agenda of the ensuing budget. To boost export-led growth more incentive should be given to the export industry, which has heavily invested in machinery, equipment and infrastructure during the last three years to keep pace with the international requirements. He said that it has already been suggested to the FBR that export industry be facilitated by allowing it duty free import of accessories against the export performance up to 10 percent. He said that this incentive should be announced in the budget 2011-12.
Similarly, it has also been recommended that DTRE scheme be simplified as it is creating problems for the exporters to achieve real benefit from the scheme. In order to facilitate exports simplified DTRE should be announced in the budget, he said. He also stressed that high mark-up rates have hindered industrial growth, which should be brought down to single digit, in order to save the industry.
Chaudhry said that in order to overcome the energy crisis, the government should invest maximum in energy sector to generate energy through hydel and coal resources. It should be ensured to utilise all available resources for generating energy by making necessary payments and fulfilling other requirements.