LAHORE: Special Assistant to Prime Minister (SAPM) for Industry and Production Haroon Akhtar Khan has said the government wants to reduce its role and allow experts to develop all sectors of the economy.
He made these remarks while addressing a consultative session on the budget at the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) regional office.
The event was attended by industrialists, including FPCCI Senior Vice President Saqib Fayyaz Maggon, Regional Chairman Zain Iftikhar and Vice President Zaki Ijaz.
SAPM Khan added that every year, budget proposals come from every sector, which are included in the budget.
FPCCI leaders call for export, agriculture reforms
Mr Khan said the government was focusing on small and medium enterprises as they are “the lifeline of the industry”.
He said the industrial growth would increase tax collection and strengthen the economy.
He said measures are being implemented to connect small and medium enterprises with the export market.
The government is providing loans to unemployed youth through the Small and Medium Enterprises Development Authority.
Mr Khan told the industrialists that the government should be hailed for its economic initiatives.
The SAPM said Pakistani businesspersons have great potential and the government “has to hold their hand”.
“Besides SMEs’ development, we are working on the development of large-scale industry. Pakistan’s economy cannot be strong without industrialisation.”
He said the current fiscal year’s budget was formulated in a way to get back on the development track.
Now that the country has come out of economic challenges, the upcoming budget will aim for development, he added.
The SAPM also said efforts were underway to ensure tax relief to salaried and business classes.
He mentioned that work is underway to export mangoes, onions, and strawberries, while special attention is being paid to the cultivation of oilseeds in mountainous areas.
He also pointed to the huge export potential of halal meat and milk.
Mr Khan said the government was working on making biogas from cow dung as this would help reduce the oil import bill.
He said farmers should bring their crop yield up to international levels, adding that a lot of work is being done on deregulation in the agriculture sector.
On the issue of water, he said the country has plenty of water, but its usage needed to be improved.
He added the government was working on initiatives for crop insurance is very important and called for more tractor manufacturing units in Pakistan.
A lot of work is being done to increase exports and the government is providing an ideal environment to exporters to increase exports, he maintained.
“We are also going to introduce a new vehicle policy for two, three and four wheelers and there would be tax exemptions for electric vehicles,” he said and asserted that work is being done for revival/re-operation of closed industrial units.
The prime minister is personally taking an interest in streamlining matters pertaining to the Federal Board of Revenue, the SAPM added.
Exports, agri reforms
Mr Magon, the FPCCI senior vice president, said pre-budget proposals are very important, and they are being adopted in the budget for some years now.
“We want a long-term policy for the industry as industries are not built for five to ten years but for a lifetime.”
Since all major political parties are in the government, a consensus should be reached in this regard.
He said the change of governments should not change economic or industrial policy.
He pointed out issues with the Export Financing Scheme (EFS), saying it is causing problems for the local industry.
He said 50 per cent of the ginning and spinning industry has closed due to this scheme.
He demanded the withdrawal of 18pc Sales Tax on local industry under the EFS and called for a review of energy prices.
Published in Dawn, May 4th, 2025
