Concern expressed at 2pc cess on exports by KP govt

PESHAWAR: The Pak-Afghan Joint Chamber of Commerce and Industry (PAJCCI) has expressed concern over the newly imposed 2 percent Infrastructure Development cess on exports by the Khyber Pakhtunkhwa government.

PAJCCI President Qazi Zahid Hussain feared in a statement the levy announced through a public notice on August 22 by the KP government would badly impact the already fragile trade between Pakistan and Afghanistan.

He said the trade community had been facing substantial challenges, particularly following the implementation of the Temporary Admission Document (TAD), which had severely disrupted the movement of goods across the border.

“The introduction of this 2 pc cess on bilateral trade has added financial strain on traders and businesses at a time when they are already passing through a complex and difficult trade environment,” said Qazi Zahid Hussain.

The timing of this tax is particularly troubling as it risks exacerbating the economic difficulties faced by traders, potentially slowing down crucial trade activities that are vital to Pakistan’s economy.

Meanwhile, PAJCCI KP Coordinator Zia Sarhadi said the new levy by the KP government had halted exports from the province and would compel traders to opt for sending consignments from other provinces.

He said under the two percent cess, Rs300,000 to 400,000 was being paid on every truck, making it impossible for businessmen to compete with others.Chief Minister Ali Amin Gandpaur was asked to take back the cess at least during this challenging period.