ISLAMABAD: Prime Minister Shehbaz Sharif on Friday urged the automobile industry to start local manufacturing of vehicles and export a considerable ratio of their products to contribute to national development.

The prime minister, talking to a delegation of automobile and auto parts manufacturers, asked them to implement the Auto Sector Deletion Policy and become a part of the global value chain.

It may be mentioned that the Pakistan Association of Automotive Parts & Accessories Manufacturers (Paapam) recently published an advertisement in national newspapers, drawing the government’s attention to the struggles of the automobile industry.

The association expressed concern that the influx of imported used cars could lead to widespread unemployment in the sector.

In a recent statement, Paapam urged the government to take immediate action to curb the surge in used car imports, which are not only affecting domestic production but also facilitating illegal foreign exchange transactions through unofficial channels.

Chairs meeting to review the progress of Pakistan Single Window Company

In its budget proposals to the Federal Board of Revenue (FBR), the auto sector said that during 2022-23, the industry imported parts amounting to $1.57 billion and all the payments were made through the banking channel.

It added that payments for used car imports are being made through the unofficial ‘grey channel’, which facilitates illegal foreign exchange transactions. Additionally, it said, the influx of cheaper used car imports is causing significant harm to the local automotive industry.

During the meeting, PM Shehbaz told the delegation that the incumbent government was taking measures to boost the country’s exports.

The delegation, consisting of Toyota Pakistan CEO Ali Jamali and Amir Allahwala, a representative of the auto parts industry, apprised the prime minister of the issues facing the auto industry. They appreciated the PM for the government’s pro-business and investment policies.

Single window operations

Presiding over a separate meeting, PM Shehbaz said single window operations should be expanded across the country to ease the provision of civic amenities to the people. Appreciating China’s concept, he said, “China’s single window system was a model for us.”

The meeting discussed the expansion of Pakistan Single Window Company (PSWC) aimed at facilitating trade and commerce in the country.

Published in Dawn, June 1st, 2024

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Islamabad protest
Updated 20 Nov, 2024

Islamabad protest

As Nov 24 draws nearer, both the PTI and the Islamabad administration must remain wary and keep within the limits of reason and the law.
PIA uncertainty
20 Nov, 2024

PIA uncertainty

THE failed attempt to privatise the national flag carrier late last month has led to a fierce debate around the...
T20 disappointment
20 Nov, 2024

T20 disappointment

AFTER experiencing the historic high of the One-day International series triumph against Australia, Pakistan came...
Tribunals’ failure
Updated 19 Nov, 2024

Tribunals’ failure

With election tribunals having failed to fulfil their purpose, it isn't surprising that Pakistan has not been able to stabilise.
Balochistan MPC
19 Nov, 2024

Balochistan MPC

WHILE immediate threats to law and order must be confronted by security forces, the long-term solution to...
Firm tax measures
19 Nov, 2024

Firm tax measures

FINANCE Minister Muhammad Aurangzeb is ready to employ force to make everyone and every sector in Pakistan pay their...