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KSE sheds 32 points oninstitutional profit-taking Page 03

Friday, 20 January, 2012

KARACHI

GHULAM ABBAS

A n acute shortage of edible oil islooming in the country as thesupply has been suspended fromKarachi terminals for the last 9days owing to the strike of pri-

vate transporters. As the existing stock ofraw materials, at various edible oil produc-ing companies, has also come to a deadlevel, the price of existing vegetable oil, gheeand others is also likely to be increased byRs15 to Rs20 per kg.

“If the supply remains suspended foranother 24 hours, production of edible oil isfeared to be halted completely causing anacute shortage of the highly consumeditem,” sources in the wholesale and retailmarket told Profit. According to sources,supply of imported edible oil is being carriedout by the private transporters and the na-tional Logistics Cell (nLC) from Karachi ter-minal to Punjab, Balochistan and KhyberPakhtunkhwa. But edible Oil Tankers Own-ers Association (eOTOA) has suspended itsoperation on January 10 against the deci-sion of Pakistan Vanaspati Manufacturers

Association (PVMA) for supply of the oilthrough nLC while neglecting the agree-ment signed with private transporters.

As the commodity is now being sup-plied only through nLC the markets werenot being supplied required oil as per thedemand making a shortage of vegetableghee/oil in the local market.

however, according to sources atPVMA, the association was free to decidehow to supply edible oil to the country’smarkets. The private transporters were notfound reliable and up to the mark of themanufactures. The repeated complaints of

oil theft and other issues have forced the as-sociation to supply the commodity throughnLC. According to Bakhtawar Khan Chair-man eOTOA, his association would con-tinue to protest over the decision of PVMAand the supply of oil would remain sus-pended until their demands were met. Theprivate transporters were also demanding aban on nLC supply of edible oil.

It is worth mentioning here that the pri-vate tarn porters have stopped their tankersat national highway. Almost 2,500 oiltankers are engaged in transportation of ed-ible oil. According to a report the annual

consumption of edible oil in Pakistan isaround two million tonnes and its usage is11-12 kg per person annually in Pakistan and7-8 kg per person annually in India. Pakistanlocally produces just half a million tonnes(450,000 tonnes from the cotton seeds and50,000 tonnes from sunflower and mus-tard). The country is importing edible oilworth Rs300 billion annually to meet localdemand. Talking about recent shortage ofedible oil, Retail Grocers Group General Sec-retary Mohammad Fareed Qureshi said allsmaller and cheaper brands of edible oilhave disappeared from the market.

Oil tankers On strike: supply suspended from Karachi

Govt expects4pc growth target

ISLAMABAD

GNI

The government on Thursdayclaimed that due to better cropposition and positive growthin LSM sector, the growth tar-get could end up close to 4 per

cent as due to government's facilitation inthe agriculture sector, improvement in sup-ply situation, reduced budget deficit andborrowing from SBP has helped bring in-flation down to single digit of 9.7 per centin December 2011.

Giving an overview of the current eco-nomic situation, Finance Secretary DrWaqar Masood informed the meeting ofthe Monetary and Fiscal CoordinationBoard, held under the chairmanship of Fi-nance Minister Dr Abdul hafeez Shaikh,that food and non-food inflation also stoodat 9.5 per cent and 9.9 per cent respec-tively. "WPI and SPI also are in single digitat 8.3 per cent and 3.0 per cent respec-tively. Core Inflation also declined but re-mained at 10.1per cent."

Other members of the Board present inthe meeting were Minister for CommerceDeputy Chairman Planning Commissionand Governor SBP. The Finance Secretarysaid the external sector has witnessed pos-itive growth since remittances reached to$6.3 billion, witnessing an increase of 19.5per cent as compared to last year, while theexports reached $12.1 billion in h1FY12which is 9.1 per cent higher than last yearand imports reached $19.7 billion. Like-wise, he said, the current account balanceregistered surplus of $160 million in De-cember 2011. he said the revenue collec-tion is showing remarkable growth of 27percent and stood at $840.1 billion in the firsthalf of the current financial year. The gov-ernment is also working on expendituremanagement strategy, austerity measures,reforms in public sector enterprises whichwill have a positive impact on the economy.expenditure in first six months was only 45per cent of total expenditure.

he said the improved revenue and ex-penditure performance have led to contain-ment of fiscal deficit at 2.6 per cent of GDPagainst the target of 4.7 per cent and actualof 2.9 per cent in the first half of last year.This performance is more impressive whenviewed in relation to provincial surpluses,which were negative Rs5 billion compared

with Rs.76 billion (0.4per cent of GDP) inthe h1 of 2010-11.

On the monitoring and fiscal side it wasnoted that SBP has reduced the policy rateto 12 per cent which is helping investmentin private sector as credit expansion to pri-vate sector has increased to Rs.169.3 billionagainst Rs.123.2 billion in first half of FY11. The SBP borrowing of Rs.120 billion atthe close of first half was temporary andwill soon be retired.

The Secretary said net foreign financ-ing to budget has been positive (Rs20 bil-lion) but more foreign resources wererequired to reduce burden of governmentborrowing on domestic sector. The risinginternational fuel prices was also high-lighted as a concern which may affect bal-ance of payment and could deteriorate theexternal position.

The Board noted that the economicoutlook of Pakistan was stable despite chal-lenges. The renewal of growth, decline ininflation, contained fiscal deficit, healthyBOP position and continuation of reformsespecially in the power sector have con-tributed to this stability. The challenges areenergy shortages and mobilisation of for-eign financing. The key foreign flows relat-ing to auction of 3G license, CSF receiptsand privatisation proceeds will be realizedduring the second half and cover the for-eign financing gaps. The Board also notedthat IMF's $1,2 billion which will be re-turned in h2 are fully budgeted.

The Finance Minister in his opening re-marks stated that it is an important meet-ing to share assessment of the currenteconomic situation and bring consistenciesin economic targets and see how we canadopt optimal utilization of policy meas-ures. The Finance Minister expressed thehope that the deliberations of the Boardwill lead to better economic coordinationand that the challenges facing the economywill be coped in a coordinated manner byall the institutions involved.

g Inflation loweredto 9.7per cent in December,MFCB told

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news02Friday, 20 January, 2012

KASHIf ARIf

T he overall state of literacy in Pak-istan leaves a lot to be desired. Thegeneral masses, especially the un-derprivileged segments in bothurban and rural areas, still remain

oblivious of the importance of educatingthemselves or their children. The educationsystem is confined to some out-dated Syl-labi, which needs some comprehensive ef-forts to streamline our methodology withthe dynamic global standards. If the publicsector education system is not modernizedand upgraded soon, our common studentswill surely be left far behind in the highlycompetitive and professional world that de-mands an increasingly sophisticated andevolved workforce, to carry out the futuristicideas and initiatives.

DAUNTING CHALLENGES

Faced with such daunting challengesin Pakistan, the general practice of tutor-ing is commonly based on “Ustaad andShagird” (Master and Apprentice) modelto impart basic training or functional lit-eracy. however, in today’s fast changingworld we should be using the mass mediaand multi-media options to reach out tothe 170 million people across the nationand prepare them to be productive citi-zens in the 21st century. Information andtechnology are fast outpacing the learningcurve of even developed economies, thusour public needs to quickly catch up withglobal progress.

FIGHTING WITH CONFORMITY

Our current education system doesnot enable the youth to fully exploit their

potential and creativity by experiment-ing and innovating, as it emphasizesmore on following the predefined proce-dures. In order to unleash the benefits ofthe modern financial framework for thepoor man, the masses must acquire abasic understanding of how to use thissystem. But due to the lack of effectiveeducational initiatives, a solid founda-tion for mass literacy could not be builtso far. Low financial literacy is a corereason why local, international or agri-cultural banks face difficulty in promot-ing their services and explaining theadvantages of their products to ruralagricultural communities at large.

THE INFORMAL CREDIT SYSTEM

In rural Pakistan there does exist anage old informal system of providingcredit to the poor rural populace. Thelandless and small farmers in rural areashave to depend on informal creditproviders such as money lenders, friendsand relatives, village shopkeepers andcommission agents, primarily becausethe villager does not possess anythingthat can be mortgaged in the formalbanking system.

PANCHAYAT SYSTEM

normally every village has a Pan-chayat (village elders committee) thathelps the villagers in maintaining reli-gious customs and addressing economicneeds or social crises. Certain religiousfactors promoted by these committeesalso contribute towards making “TheBank” an unpopular resource among thevillagers at large. Therefore, these peo-ple generally avoid banking and the con-

cept of interest (Mark-up). This makesthem dependant on their traditional bor-rowing patterns and savings traditions.

These panchayats encourage poultryfarming to help meet daily expenses. Alsohome industries like making clay pots,pickles, papars, rilly (traditional bed-sheets), hand woven blankets and shawls,etc. have emerged over the decades. Land-less and small farmers possess mudgodowns where they store their grains likewheat and rice, as a year long supply of foodfor the family and save themselves from thefluctuating prices the whole year around.

MARKETABLE SECURITIES

The traditional practice by ruraldwellers has been to keep a small numberof livestock which is seen as a saving andinsurance against any instant requirementfor finances. These animals are equivalentto marketable securities in a modern dayfinancial system. Whenever money is re-quired for events like marriage, child-birth, death, medical ailments or the eventof crop or market failure, live stock is dis-posed off. So the prime reason to invest inlive stock in rural areas is for insuranceand savings besides dairy production.

THE BACHAT COMMITTEE

A popular method of saving and ful-filling large financial requirements is thesaving-committees (Bachat Committee-BC). every participant in the committeecontributes a small amount each month,which is collected and awarded to onemember of the committee on a monthlybasis. every month one member of thecommittee is awarded the collection,until all the committee members have

been paid their due amount. Rural peo-ple also tend to save in gold and silver inthe form of bangles, rings, nose-pins orearrings as a source of saving for hardtimes and also passed on to daughters asdowry on their weddings.

RURAL FINANCIAL PLANNING

All this confirms that even the illiter-ate rural populace has some basic idea offinancial planning. Then why is it that theyshy away from the formal systems of bank-ing and financial management. A verybasic reason that has been consistentlypointed out by various market participantssuch as Citi Foundation and Tameer Mi-crofinance Bank, have been the villager’signorance regarding the financial bankingprocess. The rural population considersthe bank as an institution designed tocater to the rich land-lords and thus keeptheir distance from formal institutions.

PSYCHOLOGICAL BARRIERS

In the face of such challenges andpsychological barriers, a programme isbeing initiated by the State Bank of Pak-istan (SBP) called the “Financial LiteracyProgram” (FLP), funded by the AsianDevelopment Bank (ADB) and con-ducted in collaboration with BearingPoint Consultants.

A STATE BANK INITIATIVE

The initiative is aimed at increasingfinancial awareness amongst the ruralpublic, of how banking institutions andbranchless banking works. It will helpthem understand their rights and obliga-

tions. The program is designed to reachfarmers, house-maids, peons, janitorialstaff, industrial workers, domestic work-ers and other low income sections of so-ciety by educating them about thebenefits of using banking facilities.

The program is designed to changethe prevalent attitudes and practices ofthe rural populace and empower them toplan their domestic finances while creat-ing new livelihood options in future. Theprogramme will effectively teach themon how to save, avoid expensive creditdeals and extortion, while promoting theadvantages of various banking facilitiesavailable in the rural Pakistan.

ENSURING FINANCIAL INCLUSION

This FLP program hopes to impartsufficient knowledge about basic finan-cial concepts such as budgeting, savings,investments, debt management, finan-cial products and branchless banking.During the initial pilot phase in 2012 itwill target about 50,000 beneficiaries,with a strong focus on the low-incomegroups. Once the pilot phase has beensuccessfully implemented, the secondphase of the program will be launched toencompass up to 500,000 individuals.The program will rely on partnershipswith financial service providers and net-work organisations to reach numerousremote districts of Pakistan.

The State Bank of Pakistan (SBP) ispaving the way, by recognizing theneed of the hour and investing in thismuch needed educational initiative toprovide a pillar of support for the poorhelpless people of the country. Thushelping them to stand on their own feetand pull themselves out of their impov-erished lifestyles.

literate masses – for a more productive nation

Pakistan likely toreceive term sheet fromQatar on LNG imports

ISLAMABAD

AMER SIAL

AFTeR conclusion of ini-tial negotiations on theimport of Liquefiednatural Gas (LnG),Pakistan is likely to re-

ceive a term sheet from Qatar nextweek that will set forth the basicterms and conditions for the gas salepurchase agreement, an officialsource said. A team of Pakistani offi-cials visited Doha earlier this week tonegotiate on the quality and quantityof LnG. The talks were held posi-tively and Qatar would be sending aterm sheet that will help the Pak-

istani side to start negotiations onthe price of supplies, the source said.

The term sheet is a non bindingagreement that sets the basic termsto develop detailed legal documents,explained the source adding that itwas similar to the letter of intent(LOI). Petroleum minister Dr Asimhussain had visited Doha earlier thismonth to discuss LnG imports equiv-alent to 500 mmcfd.

Faced with the gas shortfall ofover 2 bcfd, government is focusingon expediting gas imports throughLnG and pipeline to overcome theenergy shortages that were hamper-ing economic activities in the coun-try. The government had granted

permission to three private sectorcompanies to start LnG imports to-tally equal to 1.5 bcfd from this year.Sharp rise in LnG prices were seen areason that could delay import ofLnG by private sector. Initially thegovernment wanted private sector tonegotiate with Qatar but it said thatit could provide LnG on long termbasis only if deal on government togovernment basis was signed alongwith a sovereign guarantee fromPakistan. If the deal was signedwithin the next few weeks the LnGwere expected to start by Decemberthis year. The government plans toutilise the Progas LPG import termi-nal to expedite LnG imports.

Dollar reservesslide to $16.901b

KARACHI

STAFF REPORT

The politically-embattledgovernment has started feelingthe heat as the country’s dollar

reserves continue their southwardjourney. Prime Minister Yousuf RazaGillani is reported on Thursday tohave expressed concern over thecountry’s fast depleting foreignexchange reserves that, according tocentral bank, dropped to $16.901billion during the week that ended onJanuary 13. This shows a negligibledecrease of $1 million over the pastweek when the country’s foreignexchange reserves stood at $16.901billion. The prime minister said hisgovernment would be focusing oneconomic development on “toppriority” basis. During the weekunder review, State Bank counted itsdollar reserves at $12.688 billion,down by $133 million or 1.0 per centwhen compared with $12.821 billionof the week ending on Jan 6.Commercial banks, however,possessed $4.213 billion, $133 millionor 3.2 per cent more than they heldduring the previous week. The banksheld $4.080 billion last week. The

analysts believethat the current

downward trendin dollar

reserves wasmainlybased on the

volume of importpayments

plusretirementof externaldebts that,

according toState Bank of

Pakistan, haveaggregated to $62

billion.

lPG producersincrease prices

LAHoRe

STAFF REPORT

JUST a day after imposition of thePetroleum Levy, LPG Producers in asurprising move first reduced their

prices by Rs. 10,000 per tonne, only toincrease them later by Rs11,486 per tonne.State owned OGDCL, PARCO and PPLwhich together account for 61 per cent ofthe country's production had announced abase stock price of Rs79'340 on 1stJanuary in line with the Saudi AramcoContract Price. On 17th January theFederal Government imposed a petroleumlevy of Rs11,486 per tonne on localproduction. Fearing a strong backlashfrom the public, state owned producerswere asked to reduce their price byRs10,000 per tonne and then add the levyamount of Rs11,486 thereby increasingtheir prices by Rs1486 per tonne.

tFCs: a timely shotfor energy companiesKARACHI: Pakistan State Oil (PSO) islikely to benefit by Rs27 billion, KAPCOby Rs17 billion and hUBCO by Rs15.5billion directly from the government’sdecision of converting loans of theenergy companies into Term FinanceCertificates (TFCs) by the end of thismonth. however, the full impact onPSO is anticipated to be much largerowing to pass through from powercompanies. This step by thegovernment will be a timely shot in thearm of the energy companies, as thecircular debt has substantiallyrestricted their liquidity position.Power holding Company (PhC) islikely to issue these papers to the banksagainst the portion of their outstandingdebt. however, the analysts remainwary of accumulation of circular debtgoing forward. STAFF REPORT

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news

Friday, 20 January, 2012

03

CORPORATE CORNERsilkbank signs Bancassurance Distributionagreement with asiaCare Health & life

KARACHI: Silkbank Limited and AsiaCarehealth & Life Insurance signed a BancassuranceDistribution Agreement. According to theagreement, Silkbank will offer AsiaCareBancassurance products to its existing andpotential customers through its wide distributionchannels. This initiative of offering healthinsurance products is in line with the Bank'scommitment to continuous improvement andproduct innovation. The agreement was signedby Dr. Mahmood Mehdi Kazmi, CeO AsiaCareand Talha Saeed, Group head Retail of SilkBank.Speaking on the occasion, Talha Saeed said,“With the inclusion of bancassurance products,we aim to make Silkbank a one-stop financialservice provider which offers a range of solutionsto cater to a diverse array of our customer needs.Towards achieving this objective, AsiaCare willbe our partner in making bancassurance asuccess.” PRESS RELEASE

Charity concert supported by ZOnGraises huge funds for rheumatic patientsLAHoRe: In line with its policy to support theunderprivileged members of society, ZOnGsupported a charitable concert organiaed byArthritis Care Foundation (ACF) in collaborationwith Learning Alliance Community Services(LACS). The charitable event was organiaed toraise funds for those people who have beencrippled due to rheumatic disease but do not havethe money to get medical care and treatment.ZOnG, which has also supported numerousphilanthropic causes in the past, was the titlesponsor of this concert. The telecom company,realising its responsibility as a corporate citizen,joined hands with the foundations working toprevent and fight disabilities caused by rheumaticdisease. Funds collected through this event willbe utilised to sponsor free medical treatmentssuch as diagnostic tests and joint replacementsfor the deserving patients. PRESS RELEASE

samsung’s exceeding popularityamong online communitiesLAHoRe: Samsung electronics Company Ltd.,a global leader in Digital media andtelecommunication technology has beenfeatured as the most popular consumer-electronics company among the 5.8 million“facebook” users in Pakistan. During recentmonths, more than 180,000 internet users haveexpressed their appreciation for Samsung’sonline branding activities and products.Samsung Pakistan’s Managing Director, Mr. heeChang Yee said; “Samsung has realised thatSocial Media Management must remain as anintegral part of our corporate strategies. Ouronline brand-activation goes beyond a mere fan-page on Social networking sites. We believe indynamic and exciting interactions with ourcustomers and engaging our online fansregularly.” PRESS RELEASE

PPCBl announces rates of profitsLAHoRe: Punjab Provincial Cooperative Bnk Ltd(PPCBL) has announced the rates of profit on PLSdeposits for the half year ended 31.12.2011 as; SavingBank Deposits (PLS) at 5% p.a, Super Saving PlusDeposit Accounts (PLS) at 7% p.a, Kids education Plan(PLS) at 10% p.a.enhanced Saving A/C at 6% p.a andso on. PRESS RELEASE

KARACHI

STAFF REPORT

T hURSDAY saw the KarachiStock exchange (KSe) sheddingsome 32.13 points or 0.28 per

cent to close at, what the analysts de-scribed it, intraday lows of 11,515.59points. “(The) stocks closed loweramid higher activity on institutionalprofit-taking in overbought stocks,”viewed Ahsan Mehanti, a senior ana-lyst and director at Arif habib Invest-ments. On the previous day,Wednesday, the benchmark, 100-share index, closed at 11,547.72 points.

According to market observers,the politico-economic factors impactedthe market sentiments Thursday see-ing the index hitting the intraday highand low of 11,652.74 points and11,502.34, respectively.

“Index closed on its intraday lowsdespite strong recovery in global stocksand commodities on IMF lendingplans to support europe debt con-cerns,” said Mehanti. The investorsbooked profits in blue-chip stocks fol-

lowing five sessions of bullish close,after a bi-monthly policy announce-ment by the central bank was delayedup to the 11th of next month and theSupreme Court adjourned hearing ofPrime Minister Yousuf Raza Gillani onthe nRO implementation case to Feb1st, he added. The turnover at theready-counter for traded shares, how-ever, remained in the green zone andclosed higher at 92.473 million sharesagainst 83.732 million shares of thepreceding session. The trading valueset in the negative side and dropped toRs3.53 billion from the previous day’s

Rs4.06 billion. The market capitalisa-tion finished almost flat at Rs2.99 tril-lion compared to Wednesday’s Rs2.99trillion. The companies’ position re-mained a bit stable as of the total 322traded scrips, 123 gained, 113 lost and86 remained unchanged.

The KSe-30 index also lost 40.28points and closed at 10,600.95 pointsagainst the previous 10,641.23 points.Jahangir Siddiqui Company appearedas volume leader of the day counting15.809 million of its shares tradedwith the opening and closing ratesstanding respectively at Rs4.45 and

Rs5.16. Other scrips that traded wellinclude lafrage pakistan, azgard nine,DG Khan Cement, Fatima FertiliserCompany, national Bank of Pakistan,Lotte Pak-PTA, Fauji Fertilizer BinQasim, Attock refinery and engro cor-poration whose traded shares num-bered, respectively, 7.8 million, 5.9million, 5.5 million, 5.4 million, 5.1million, 4.4 million, 4.3 million, 3.0million and 2.9 million shares.

The future market also staged anupset with the share trading turnoverupping to 10.609 million from Fri-day’s 9.19 million.

Bank Alfalah pic caption: Atif Bajwa, CEO Bank Alfalah and NasarQureshi, CEO, Alfalah Insurance present at the MoU signingbetween Bank Alfalah and Alfalah Insurance. PRESS RELEASE

KSE sheds 32 pts on institutional profit-taking

APTMA defies gas shortageLAHoRe

STAFF REPORT

ALL Pakistan TextileMills Association(APTMA) Punjab hasannounced defianceof gas load-shedding

for textile industry from Mondayonwards. In a hurriedly calledpress conference, APTMA leader-ship said APTMA member millswould reject gas load managementplan in case government fails tosupply gas to textile mills in Pun-jab. Chairman APTMA PunjabAhsan Bashir said in a press con-ference that all promises made by

the government for restoration ofgas supply to textile industry havenot been fulfilled. They said gov-ernment has no idea of massiveunemployment in textile industrywhere daily wagers are already outof jobs and the regular ones arefacing a layoff. Ahsan said the in-dustry has failed to understand thepriority of government on gas sup-ply. he said gas is being suppliedto vehicles and heaters and gey-sers but nothing for survival oflabour of textile industry.

he said APTMA membershave lost confidence in the gov-ernment Gohar ejaz said therewas an assurance of gas restora-

tion some 12 days back but all invein. “APTMA, after due consider-ation, has decided to reject loadmanagement schedule of SnGPLif no restoration of gas supply isensured to textile industry bycoming Monday,” he said categor-ically. he said APTMA would alsoapproach the courts. After Mon-day, he said, the APTMA strategywould be entirely different. hecriticised the government for mis-treating textile industry. Wewould not let the load of our millsbe suspended if supply is not re-stored from Monday. It seemsthat doing business in Pakistan isa sin; he said and added that 40

per cent exports of the industryare down with closure of $6 bil-lion exports capacity in the coun-try. he said APTMA members andtextile workers staged a peacefulsit-in outside the SnGPL office,but still the assurance given atthat time has not been honoured.

he said APTMA would resumecapacities if industry is not accom-modated for 3.5 days a week gassupply by coming Monday. he fur-ther hoped that the industrialsectors throughout Punjab wouldsupport APTMA. he said APTMAwould also welcome Dr Asimhussain as and when he desiresto visit APTMA.

sBP reschedulesmonetary policyannouncement

KARACHI

STAFF REPORT

CenTRAL bank has changed itsschedule to announce the monetarypolicy decision, said a statement

issued on Thursday by State Bank ofPakistan (SBP). It said SBP’s CentralBoard of Directors has decided toreschedule its meetings on monetarypolicy from the last week of the alternatemonth to the first half of the followingmonth during a calendar year. This changein the schedule of board meetings has beenmade in order to take into considerationthe latest data on inflation released by theFederal Bureau of Statistics (FBS). Thedata now becomes available at thebeginning of a month instead of the secondweek. It may be pointed out that the boardmeetings on monetary policy, which wereearlier scheduled to be held in the lastweek of January, March, May, July,September and november, have now beenshifted to the first half of February, April,June, August, October and December. Theannouncement of Monetary PolicyStatement in February and August will bemade through a press conference byGovernor, State Bank of Pakistan while theother four monetary policy decisions inApril, June, October and December will beannounced through press releases.Governor, State Bank of Pakistan, YaseenAnwar, would unveil the next MonetaryPolicy Statement for the months ofFebruary and March 2012 at a pressconference to be held here at SBP onFebruary 11 at 4.00pm

Chief minister hailsrole of expatriatePakistanis

LAHoRe

STAFF REPORT

PUnJAB Chief Minister, MuhammadShahbaz Sharif said if expatriatePakistanis decided, the exports of

Pakistan can be increased by threefold.he was talking to media at Berlin Airporton his arrival in Germany. he saidintroduction of fruit, vegetables and otherproducts of Punjab in internationalmarkets through internationalagricultural exhibition Green Week willplay an important role in restoring theimage of Pakistan. he said nature hasblessed Pakistan with the best fruit andvegetables which can be compared withthat of any region of the world withregards to taste and quality. earlier, thechief minister Muhammad Shahbaz Sharifwas warmly welcomed at the Berlinairport. A large number of Muslim Leagueworkers and Pakistanis were present atthe airport who chanted spirited slogansof Quaid-e-Azam zindabad, nawaz Sharifzindabad, Shahbaz Sharif zindabad andPakistan zindabad. Member provincialassembly and progressive farmerMuhammad Arshad Jutt alsoaccompanied the chief minister. Whileaddressing the Pakistanis, the chiefminister said it is a good omen thatexpatriate Pakistanis have extraordinarypassion for service and safeguarding themotherland. Muhammad Shahbaz Sharifsaid Pakistan Muslim league-n is fullyprepared for playing its historic role inpurging Pakistan of corruption, nepotismand plundering.

kCCi for withdrawal ofmandatory conditionof CniC, ntn

KARACHI

STAFF REPORT

KARAChI Chamber of Commerce &Industry (KCCI) has demandedimmediate withdrawal of mandatory

condition of CnIC/ nTn vide SRO-821(I)/2011 for all purchases made by anyunregistered person which creates immensehurdles in doing business smoothly andbusiness and industrial community cannotcomply with it. President KCCI Mian AbrarAhmad in a statement has stated thatnumerous complaints were received frommembers on revised income tax, sales tax andfederal excise returns especially onCnIC/nTn condition which becamemandatory from January 1, 2012. he furthersaid, a unilateral decision should not be takenby FBR and this is very unfortunate thatmajor changes have been made withoutconsultation with the business and industrialcommunity of Karachi which has made itpractically impossible to file the tax returnsand would only result in declining tax revenueand would also force genuine tax payers tooperate outside the tax net. We are majorstakeholder and representative of businessand industrial community of Karachi, whichalone contributes 68 per cent of the revenueso before framing any policy, KCCI should betaken on board. he demanded that FBRshould not burden the already registered taxpayers by imposing condition of furnishingCnIC/nTn for their sales because businessand industrial community, already facingmanifold problems like power, gas and watershortage, law and order situation and 2-weekly holidays.

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