This refers to the article, ‘Addressing economic distortions’ by Kaiser Bengali (March 22). The writer has called for a ban on the import of cars and encouraging domestic assembly of non-commercial vehicles. It is baffling that a large number of advertisements showcasing the latest imported luxury cars – many of which cost over Rs10 million – appear in the media, while the country’s external account is in the red. Moreover, despite availing incentives/concessions and price-fixing, assemblers have not made any serious effort to achieve a higher rate of deletion in local production; as a result, the import content of cars assembled in the country remains high.
It is also shocking that some units that have been in business for decades have still not upgraded to complete manufacturing. These must be shut down, and the government should instead promote public transport. Besides cars, a number of other needless items are imported. The SBP reserves have fallen below $15 billion while the rupee has dropped to Rs180 against the dollar. These imports must be banned if the country wishes to prosper.
Arif Majeed
Karachi
