PESHAWAR: Industrialists have warned that if private banks continue to delay the opening of letters of credit, their units will stop production.

They demanded of the federal government to intervene for corrective measures.

The industrialists also called for uninterrupted gas and power supply to manufacturing units to promote industrialisation, generate employment and strengthen economy.

Members of the Industrialists Association Peshawar raised the alarm over LC delays during a meeting with provincial governor Haji Ghulam Ali during the latter’s visit to the Hayatabad Industrial Estate on Friday on the invitation of the association.

The governor assured industrialists that he would take up their issues with the federal government effectively for necessary action, according to a statement.

Noted among participants were IAP president Malik Imran Ishaq, senior vice-president Ayub Zakori, vice-president Ghulam Mohyyuddin and executive members as well as Sarhad Chamber of Commerce and Industry president Mohammad Ishaq and industrialist Ghazanfar Bilour.

Governor promises to take up issue with federal govt

Peshawar mayor Haji Zubair Ali and former senators and MNAs were also in attendance.

The SCCI president highlighted issues of industrialists mostly related to electric and gas supply and power tariff.

He said Khyber Pakhtunkhwa produced natural gas in surplus and recorded new gas discoveries, so the residents had the first right to the gas under the Constitution, but that right was denied.

The SCCI president also complained that electricity was not supplied to industrial, commercial and domestic consumers smoothly and at cheap rates.

He raised concern about the fixed billing charges and quarter tariff adjustment in power bills and said the province was self-sufficient in electricity production but electricity was unavailable to its industrial and commercial consumers.

The IAP president demanded an immediate halt to fixed billing charges and the provision of cheap and uninterrupted power supply to industries.

Mr Bilour said the LC delays had brought industrial production almost to a halt.

He also said the cost of industrial production had registered an unprecedented increase.

He also said a large number of goods trucks were stuck up at the Karachi Port due to a delay in the opening of LCs by banks and that heavy demurrage charges were being collected from industrialists on a daily basis causing them financial and production losses.

The former FPCCI president wondered how the industries would flourish when the process of export was being halted.

“Industrialists have been forced to shut their units,” he said.

Mr Ishaq urged the governor to step in for the resolution of those issues. The governor assured the IAP president and industrialists that he would take up their issues at central level efficiently and would make all possible efforts to resolve them promptly.

He invited the IAP president to the Governor’s House to discuss those issues. “I will take up issues of industrialists in an upcoming meeting with the federal ministers and relevant senior officials in Islamabad,” he said.

The mayor said he had come to power to serve people. He said he would take about the problems of manufacturers related to the provincial government with the relevant departments for effective resolution.

Published in Dawn, January 21st, 2023