SOS appeal to PM Imran amid coronavirus outbreak

Islamabad : The steel industry of Pakistan has appealed to Prime Minister Imran Khan to act now by providing immediate relief package to the industry of the country to save it from collapse and to save jobs of large number of poor workers, says a press release.

In an appeal addressed to the Prime Minister Imran Khan, Abbas Akberali, Chairman Amreli Steels, exhorted that like the special package announced for the textile sector, similarly, a package must be announced for the steel sector to save it from total meltdown. “Worldwide many countries have reduced the interest rates to zero percentage and in Pakistan the interest rates need to be reduced to maximum 5 per cent during such an extra ordinary situation created due to coronavirus pandemic. ‘In response to this crisis, governments and central banks all over the world have enacted fiscal and monetary stimulus measures to counteract the disruption caused by the coronavirus. With the Pakistani economy already struggling to survive, the Corona Virus Epidemic is going to create a severe cash crunch with drastic reduction in demand. These factors are sure to leave many businesses bankrupt and hundreds of thousands unemployed unless the government acts immediately,’ he added.

He urged the government that the interest rates must be reduced to 5% immediately for the next 12 months as an extra ordinary measure. (US has recently cut its rates to 0%). That principal payments for long term and short term loans should be deferred for the next 12 months while industry can try to service interest at a reduced rate of 5%. “RD and other import duties on steel meltable scrap should be reduced to 0% as it is a primary raw material for the steel industry. And all duties & taxes on also PCT 7204.4920 for un-serviceable auto parts be reduced to zero percent,” he added. He said that targeted measures are need of the hour to support businesses through this period of disruption caused by COVID-19. Govt of Pakistan must act now to save the economy from de-industrialization & loss of jobs. The Chairman Amreli Steel said that the prevailing situation is an extra-ordinary situation wherein the global economy is likely headed towards deep recession due to COVID-19 and this situation calls for special measures to save the industry from collapsing.