PCGA calls for review of fixed-tax policy for industrial units

September 29, 2022

Chairman of the Pakistan Cotton Ginners Association (PCGA) Suhail Haral has urged the government to reconsider the fixed tax policy on factories.

While holding a press conference, Haral said that cotton factories only operate in the winter season, so why should they pay fixed taxes all year round. He said he would demand raw materials from the government if it wanted to get a fixed tax throughout the year.

Responding to a question about the production of cotton, he said that PCGA was expecting a production of 12 million bales. However, the rains and floods caused havoc with the crop. There could be a loss of four to five million cotton bales.

Since capacity charges were paid on a regular basis, he demanded that the government oversee audits of independent power plants (IPPs) by foreign firms to evaluate their capacity building. He noted that nearly one-third of the nation's electricity was generated by IPPs, but fuel price adjustments were made for all electricity production, whether it was generated by hydro, coal, wind, or solar systems.

Suhail Haral argued that current weather conditions were beneficial for the cotton crop when referring to the state of the crop at the moment. He implied that the temperature drops, especially at night, and this is good for the crop.

Credit: Independent News Pakistan-WealthPk