be strengthened, otherwise the money will fly off to other countries instead,” he added.
The government is encouraging informers in the industries to point out income of industrialists. Such trend will only create unrest and lack of interest in the industrialists, he said.
The industrialist should be allowed to generate power through captive power plants and supply to their neighbouring industries, as government has already failed to provide electricity to the industries.
Abdul Rahim Janoo, senior vice president FPCCI and a leader of Rice Exporters Association of Pakistan (REAP), said he would have praised the budget but, “there is no benefit for rice exporters.”
“Only rice millers were given incentive in the shape of withdrawal of income tax for one year,” he said, adding that such rice millers earn very little amount on rice processing, so they are either paying very little tax or no tax at all. Such withdrawal will not have any positive impact over exports, he said.
On the other hand, President Lasbela Chamber of Commerce and Industry (LCCI), Yakoob H Karim while appreciating the decision to reduce Export Refinance rate to 4.5 percent, termed it as a good sign for exporters following reduction of 1.5 percent on export financing.
But, he said, no other relief has been provided to the industrial sector, which is suffering badly due to poor infrastructure and massive cost of business.
Businessmen also remain suspicious of tax returns of around Rs110 billion refunds, which have been announced by the finance minister to be paid by the end of August 2015. It is a good decision, but should be implemented in letter and Spirit, Karim said.
The Chairman, Pakistan Tanners Association (South Zone) Hamid A Zahoor said imposition of Gas Infrastructure Development Cess (GIDC) on export sector would be a big blow to the export oriented industry as exporters are already suffering due to increased overheads and un-competitiveness in the international market.
The chairman further asked the finance minister to at least fulfill his commitment to release refund claims this year.