38th session - national assembly of pakistan

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(38th Session)

NATIONAL ASSEMBLY SECRETARIAT

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“QUESTIONS FOR ORAL ANSWERS AND THEIR REPLIES”

to be asked at a sitting of the National Assembly to be held on

Friday, the 19th November, 2021

145. *Shazia Marri:

(Deferred during 36th Session)

Will the Minister for Planning, Development and Special

Initiatives be pleased to state:

(a) the details of announcement made by incumbent

Prime Minister while visiting different areas of the country

with regard to development projects in different areas of the

country;

(b) whether financial assessment was made of each of project

prior to make such announcement alongwith break-up of

funds, which have been reserved and released for each

project so far; and

(c) whether country’s financial position has such space to meet

the requirement of the funds, required for each project?

Minister for Planning, Development and Special Initiatives

(Mr. Asad Umar): (a) During the tenure of incumbent Government, the

Prime Minister has announced four major development packages for

regional development which include Karachi Transformation. Plan,

Accelerated Development for Southern Balochistan, Gilgit-Baltistan

Development Plan. Development plan for 14+ Priority Districts of Sindh.

Details indicating financial outlay etc. is attached.

(b) Yes. The financial assessment was carried out in consultation

with all stakeholders prior to the announcements. The development

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projects were prepared and got approved from the respective competent

fora. Funds against the PSDP share are being allocated and released to the

approved projects within the overall indicative budget ceilings of

respective sponsoring Ministries/ Divisions. Project-wise details attached.

(c) The said developmental interventions are aimed to facilitate

under-privileged / less developed parts of the country to bring them at par

with other areas as per the mandate of the Planning Commission for better

service delivery. The annual financial requirements are being met as per

phasing of the projects duly approved by the respective competent fora

within the indicative overall size of federal PSDP. The counterpart

financiers or these plans, wherever committed, for early completion of

envisaged projects.

(Annexure has been placed in the National Assembly Library)

165. *Shazia Marri:




(a) the exact number of jobs out of ten million announced jobs,

which have been provided to unemployed persons since

August, 2018, as announced by the Prime Minister on

numerous occasions;

(b) details of public and private departments, in which such jobs

were provided; and

(c) the authority/department, which maintained the record of

such jobs?


(Mr. Asad Umar): (a) Provision of employment to youth is a big

challenge, but stands on high priority on the agenda of present

government. The Government has taken various steps for reviving the

economy, accelerating the pace of economic growth and creating

employment in the country.

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According to Labour Force Survey 2018-19, a total of 2.32 million

jobs were created during the first year of the present government.

Further, ‘Special Survey for Evaluation Socio-Economic Impact of

COVID-19 on Wellbeing of People’ indicated that out of 20.6 million

people who lost their jobs/could not work during April-July, 2020, 18.4

million started working during August-November 2020, depicting a

V-shaped recovery.

The Federal Government has taken various initiatives/packages in

addition to Provincial initiatives to boost economic activities, mitigate the

adverse impact of COVID-19 on employment level and generate

employment opportunities for the youth. These initiatives/packages

include the following:

i. Construction Package

ii. Textile Package

iii. Pakistan’s Green Stimulus Package

iv. Kamyab Jawan Initiative

v. Kamyab Pakistan Programme

vi. Prime Minister’s Skills for All - Hunarmand Pakistan Program

vii. Employment generation through CPEC

viii. Digital Pakistan Policy 2021 aiming to tap the digital global

market etc.

(b) & (c) Pakistan Bureau of Statistics (PBS) and Provincial

Statistics Departments collect, compile and maintain data on labour force,

manpower and employment etc. Further, Establishment Division

maintains data regarding employment/employees in the Ministries/

organizations and autonomous bodies etc. Currently, the PBS is in the

process of collecting Labour Force Survey (LFS) data for the year

2020-21. In the past, the LFS data used to be collected at the provincial

level. It is for the first time that PBS is collecting LFS data for 2020-21 at

the District-level. Upon finalization, the LFS data will be shared with this

Honorable House.

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94. *Mr. Ali Gohar Khan:




(a) the details of amount required for the China-Pakistan

Economic Corridor (CPEC) Project; and

(b) the details of total number of projects included in CPEC

alongwith the number of projects which have been completed

so far?


(Mr. Asad Umar): Response is enclosed as Annex-I.


96. *Dr. Nafisa Shah:


Will the Minister for Finance and Revenue be pleased to state:

(a) what is the update status regarding the announcement by the

Government for forming an inquiry commission on the debt

taken in Pakistan;

(b) how much debt has been taken by this Government so far; and

(c) whether this period would also be included in the Inquiry?

Minister for Finance and Revenue: (a) The Cabinet Division

constituted an inquiry commission on Debt in June 2019. The commission

has not submitted its inquiry report till date to the Cabinet Division.

(b) Total public debt increased by Rs. 14.9 trillion during July

2018-June 2021, break-up of which is as follows:

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Component-wise Increase in Total Public Debt (July 2018 - June 2021)

Change

Reasons for Increase: 14.9

(i) Financing of Federal Primary Deficit 3.5

(ii) Interest on Debt 7.5

(iii) Exchange Rate Devaluation Effect 2.9

(iv) Cash Buffer / Other Reasons 1.0

i. Financing of Primary Deficit: The impact of economic

slowdown due to the Covid-19 pandemic mainly resulted in

higher than estimated primary deficits. Rs. 3.4 trillion

(23 percent of the increase) was borrowed for financing of

primary deficit.

ii. Interest Expenses: Government paid Rs. 7.5 trillion against

interest servicing which explained 50 percent of the increase

in total public debt.

iii. Currency Devaluation Impact: Exchange rate depreciation

added around Rs. 2.9 trillion (20 percent of the increase) in

public debt. It is important to highlight here that this increase

was not due to borrowing but due to re-valuation of external

debt in terms of rupees after currency devaluation.

iv. Cash Management & Others: Rs. 1.0 trillion (7 percent of the

increase) was on account of increased cash balances of the

Government to meet emergency requirements. However, this

increase in debt was offset by corresponding increase in the

Government’s liquid cash balances.

(c) The inquiry commission on Debt was constituted to conduct

inquiry into the period from February 2008 to September 2018.

97. *Moulana Abdul Akbar Chitrali:


Will the Minister for Finance and Revenue be pleased to state the

details of the taxes paid by the sugar, wheat, cigarettes and cement

production units/factories, production capacity, export on

purchase of raw material, pay and allowances, fuel and energy etc.

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charge, quantity of sale and exports made during the last three

years alongwith the year-wise break-up?

Minister for Finance and Revenue:

CUSTOMS

1. Year-wise break up for the last three years of the value of

exports made in sectors Sugar, Wheat, Cigarette and Cement are given as

under:

(a)

(Value in USD million)

2018-19

Item Value Quantity (Tons)

Cement 186 3,898,153

Sugar 211 612,709

Wheat 161 720,128

Cigarette 0.183 55

Estimated amount of Export Development

Surcharge (EDS): (Rs. in million)

Cement: 56.55

Sugar: 64.145

Wheat: 48.95

Cigarette: 0.055

(b)


FY 2019-20


Cement 154 3,635,839

Sugar 105 270,717

Wheat 6 24,608

Cigarette 7 1,817

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Estimated amount of EDS: (Rs. in million)

Cement: 57.83

Sugar: 39.43

Wheat: 2.25

Cigarette: 2.62

(c)


FY 2020-21


Cement 184 4,786,658

Sugar 0 632

Wheat - -

Cigarette 15 3,535

Estimated amount of EDS: (Rs. in million)

Cement: 74.06

Sugar: -

Wheat: -

Cigarette: 6.04

* EDS is charged @ 0.25% in PKR of Export Value of all exports

in terms of S. R.O 17(I)/2003 dated 04-01-2003.

** The EDS after consolidation is transferred to Ministry of

Finance through NBP/SBP and is distributed by Ministry of Commerce as

per their requirements.

INLAND REVENUE

The detail of the taxes paid by the sugar, wheat, cigarettes and

cement for the last three years is attached as Annex-A.

As regards the part of question relating to production capacity,

pays and allowances, fuel charges, it does not relate to FBR.

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98. *Syed Agha Rafiullah:




(a) year-wise details of funds, which have been allocated under

Public Sector Development Programme (PSDP) alongwith

current financial year during the last four years;

(b) the criteria under which funds are allocated Under the PSDP;

(c) the details and names of areas selected for which such funds

have been allocated;

(d) whether it is a fact that areas, from which MNAs belonging to

opposition parties have been elected, are ignored in the

disbursement of such funds; if so, the justification thereof;

and

(e) what corrective measures are being taken to allocate such

funds on the basis of equality?


(Mr. Asad Umar): (a) Year wise detail of funds allocated under PSDP

during the last four years and CFY is as under;

(Rs. Billion)

Fiscal Year

PSDP Allocation Expenditure^

Rupee F. Aid Total

2017-18 838.57 162.43 1,001.00 660.9

2018-19 530.70 144.30 675.00 561.7

2019-20 572.71 128.29 701.00 622.3

2020-21 577.52 72.48 650.00 683.0

2021-22 800.00 100.00 900.00 182.6*

Source: ^As per Fiscal Operations of Finance Division.

* As per SAP system as on 9-11-2021.

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(b) Funds under PSDP are allocated to approved projects by the

competent fora while adopting the general criteria/guidelines by the

Ministries/ Divisions which are attached at Annex-I.

(c) The focus of PSDP funding remained national level projects

with 80-70% funding for ongoing development portfolio along with

initiation of Regional Equalization Programmes like: Accelerated

Development Plan for Southern Balochistan, Karachi Transformation Plan

(KTP), Socio-Economic Development of Gilgit Baltistan, Development

Plan for 14+ Priority Districts of Sindh. Newly Merged Districts of

Khyber Pakhtunkhwa etc., to bring these areas at par with other developed

parts of the country.

(d) Funds under the federal PSDP are not allocated on the basis

of constituency not to Parliamentarians rather funds are allocated to

national level development programmes projects prepared by the relevant

federal Ministries/Divisions as per assigned under Rules of Business and

approved by the competent fora according to sectoral and regional

priorities, keeping in view the available Fiscal space.

(e) As indicated above that focus of federal PSDP is on

upgradation and modernization of national level physical infrastructure

along with social uplift by initiating special regional equalization

programmes to remove disparity and bring equitable development in the

country. Programmes like Accelerated Development Plan for Southern

Balochistan, Karachi Transformation Plan, Socio-Economic Development

of Gilgit Baltistan, Sindh Development Plan for 14+ Priority Districts,

Newly Merged Districts of Khyber Pakhtunkhwa etc. are a few important

initiatives of the federal Government for balanced and equitable

development in the country. Sufficient funds have been allocated for these

programmes in CFY PSDP 2021-22. Moreover, SDGs achievement

programme being a global agenda to combat poverty with 17 SDGs goals

is also being financed through federal PSDP. Moreover, funds are also

being provided for basic needs of socio economic development in

neglected areas of the country.

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100. *Dr. Nafisa Shah:



Initiatives be pleased to state what further agreements have been

signed in the China-Pakistan Economic Corridor (CPEC) context,

the total cost, and the sources of the funds required?

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(Mr. Asad Umar): (a) After the successful implementation of early

harvest phase-I, CPEC has now entered into the second phase which

primarily focuses on industrial and Agriculture Cooperation, Science &

Technology, Renewable Energy, Socio-Economic development and

Information Technology. In this regard the following agreements / MoUs

have been signed;

i. MoU on establishment of Socio-Economic Development Joint

Working Group (JWG) under CPEC and Agreement

on Implementation of 27 projects of Socio-Economic

Development.

ii. MoU on establishment of Agriculture & Sciences &

Technology JWGs.

iii. Development Agreement of Rashakai Special Economic Zone

(SEZ) between CRBC & KPEZDMC.

iv. Concession Agreement of 1124 MW Kohala HPP.

v. Concession Agreement of 700 MW Azad Pattan HPP.

vi. Concession Agreement of 300 MW Gwadar Coal Power

Plant.

vii. MoU on establishment of JWG on Information Technology.

viii. MoD on Development of Karachi Coastal Comprehensive

Development Zone (KCCDZ).

ix. Framework Agreement of Cooperation between Ningbo Port

and Gwadar Port.

x. Lease Deed Agreement of Gwadar Expo Centre.

xi. Letter of Exchange for provision of Balochistan Solar power

lighting equipment.

xii. Letter of Exchange for provision of Medical equipment and

materials.

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(b) With regards to the funding of the aforementioned MoUs/

Agreements, so far, 27 projects under Socio-Economic Development JWG

have been agreed (list enclosed as Annex-I) which are to be funded

through Chinese Govt. grant. As per the development agreement of

Rashakai SEZ, China Road & Bridge Construction Company (CRBC) will

invest around USD 128 million as FDI for zone infrastructure

development & marketing. The concession agreements for 1124 MW

Kohala HPP with cost of USD 2.5 billion. 700 MW Azad Patton HPP with

the cost of USD 1.5 billion and 300 MW Gwadar Coal Power Plant with

cost of USD 0.5 billion power are on BoT mode under IPP policy.

Furthermore, the KCCDZ project will be developed by CRBC with

estimated investment of around USD 3.5 billion as FDI and equipment

related to Solar Power and medical will be provided under Chinese

government grant.

Annex-I

List of Socio-Economic Development Projects under CPEC

Areas of

Cooperation Project

Agriculture

1. China-Pakistan Joint Agricultural Technology Laboratory

2. Provision of Agricultural equipment and tools

3. China-Pakistan Joint Agriculture demonstrations stations

4. Bacterial grass (JunCao) Technology Training and

promotion project

5. Pakistan Agricultural Vocational Training

Education

6. Provision of teaching equipment for primary and secondary

Schools

7. Smart Classroom for Higher education

8. Maintenance and renovation for 50 schools in newly merged

districts

9. Overseas student scholarship

Medical

10. Medical equipment and materials

11. Gwadar hospital project

12. Vaccine storage and transportation equipment

13. Brightness journey in Pakistan

14. Burn Centre

15. China-Pak joint telemedicine network

16. Medical emergency centre in Balochistan

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Poverty

Alleviation

17. Solar powered lighting equipment

18. Training courses

19. Emergency relief supplies for enhancing NDMA, disaster

preparedness capacity

20. Rural poverty reduction joint research project

Water

supply

21. Drinking water equipment

22. Gwadar Desalination Plant

Vocational

Education

23. Pakistan Vocational Schools equipment Upgrading and

Renovation Project

24. Pakistan Vocational and Technical Education Capacity

build up project

25. Gwadar Vocational and Technical Project.

26. Cooperative Project with Pak-Austria Fachhochule:

Institute of Applied Sciences and Technology

27. Punjab-Training University of Technology Project

102. *Mr. Naveed Aamir Jeeva:


Will the Minister for Economic Affairs be pleased to state the total

amount Pakistan has received from foreign countries and

organizations under the head of Covid-19 Fund, since its

outbreak?

Minister for Economic Affairs (Mr. Omar Ayub Khan): The

total amount committed by foreign countries and organizations for

COVID-19 response is US$ 4,250.8 million out of which US$ 3,632.7

million has been disbursed (as of 10th November, 2021)

Details are placed at Annex-I.

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105. *Mr. Murtaza Javed Abbasi:




(a) whether it is a fact that salaries of employees of Public

Private Partnership Authority have not increased since 2019;

and

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(b) what is the policy of Federal Government regarding contract

employees in the public private partnership authority?


(Mr. Asad Umar): (a) Yes. The employment engagement of employees

of P3A is governed by their respective contracts. P3A is a statutory entity,

any changes in the Terms and Conditions of employment cannot happen in

the absence od service rules or regulations. Framing of service rules and

regulations of P3A is under process.

(b) Pursuant to Section 3(4)(d) of the P3A Act, 2017, the

contractual employees of the erstwhile IPDF became employees of the

P3A on the same terms and conditions as were applicable to them before

the establishment of P3A. The terms of employment of such employees

have continued to be governed by their respective contracts. With respect

to contractual employees to be hired by P3A in the future, the P3A Act,

2017 (as amended) empowers the P3A’s Board to regulate service matters

pursuant to regulations, such matters shall be covered in the P3A’s service

regulations expected to be approved by the P3A’s Board by the end of the

current year.

109. *Mr. Abdul Qadir Patel:



(a) the detail of increasing rate of interest on the ongoing

schemes for the common man, including granting loans for

various programs that have been initiated by the incumbent

Government;

(b) whether the increasing rate of interest has negatively

affected such programs;

(c) if so, the steps being taken by the Government to deal with the

such effects?

Minister for Finance and Revenue: (a) The interest rate in most

of the government schemes such as Kamyab Pakistan Program, Kamyab

Jawan (Youth Entrepreneurship) and Government markup subsidy scheme

is either zero or fixed. These schemes have been introduced to promote

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financing to underserved and/or vulnerable segments of the society,

therefore, the interest rate/ markup under these schemes is subsidized in

nature.

(b) Further, it is apprised that the interest rates on these schemes/

programs are fixed which are not linked with market interest rates.

Therefore, the fixed interest rates under these specific program’s benefit

the borrower(s), particularly in an increasing interest rate scenario.

Moreover, there is no need for further actions required as rates on the

schemes remain intact.

(c) There is no need for further actions as rates on the schemes

remain intact.

@110. *Mir Amer Ali Khan Magsi:



(a) how much supari (Chalia) was import legally, after issuance

of Statutory Regulatory Order (SRO) No.1067 dated 20-10-2017;

(b) whether it is a fact that smuggling of supari throughout the

country has been found rampant and causing a heavy loss to

revenue in the form of duties and taxes;

(c) if answer to part (b) above is in the affirmative, than

what steps have taken by the customs authorities to stop the

aforesaid smuggling?

Minister for Finance and Revenue: (a) Legal import of supari

(Chalia), after issuance of Statutory regulatory Order (SRO) No. 1067

dated 20-10-2017 till date, is as follows:

Financial Year Quantity

(in M Ton)

Value

(in Million)

Duty/Taxes

involved (in Million)

20-10-2017 to 30-06-2018 7805 1009 1199

FY 2018-19 0.00 - -

FY 2019-20 347.4 81.9 93.3

FY 2020-21 100.8 19 15.5

FY 2021-22 till date 227 86 70

@ Transferred from Commerce Division.

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(b) During recent years, the smuggling of betel nuts has increased

from western borders both Pak-Iran and Pak-Afghanistan. Customs has

presence only at notified Customs Stations i.e. Torkham, Kharlachi,

Ghulam Khan, Angor Adda and Chaman along Pak-Afghan border and

Taftan, Reediq, Cheedgi and Gabd along Pak-Iran border. While for the

rest of border areas, anti-smuggling powers have been entrusted to

Pakistan Rangers, Frontiers Corps Balochistan (North/ South), Khyber

Pakhtunkhwa (North/ South), Pakistan Coast Guards and Pakistan

Maritime Security Agency under Customs Act, 1969. During the last three

years, Customs has seized huge value of smuggled betel nuts; details of

which are as under:

FY Quantity of seized

betel nuts (MT) Value of seized

betel nuts (Rs. in

million

Value of seized

goods other

than betel nuts

(Rs. in million)

2018-19 3,834 2,232 23,159

2019-20 4,200 4,122 32,448

2020-21 6,506 5,665 52,559

2021-22 (upto Sep)

931 1,156 11,773

All the field formations of Customs are under strict directions to

thwart smuggling of betel nuts.

(c) Federal Board of Revenue is taking all steps to strengthen the

Customs presence along western borders. On 17-10-2019, the Honourable

Prime Minister of Pakistan approved 2018 new posts under Border

Management Initiative for counter smuggling and to strengthen its

operations to protect the economic frontiers including sea and land borders

of Pakistan. Of these, Establishment Division approved 648 posts in

Phase-I. Recruitment (BS 1-15) under Phase-I has almost been completed

whereas recruitment against the BS-16 posts is pending with FPSC.

However, the recruitment of all the 866 posts recommended in Phase-II is

also under process.

The enforcement measures taken by FBR / Customs against

smuggling have resulted in significant increase in seizure of goods as

reflected in the statistics below:—

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(Rs. in millions)

Period Value of seizures

FY 2018-19 25,391

FY 2019-20 36,570

FY 2020-21 58,224

FY 2021-22 (upto Sep) 12,929

111. *Ms. Nafeesa Inayatullah Khan Khattak:




(a) the number of times during the last ten years when Pakistan

Livestock Census was conducted by Pakistan Bureau of

Statistics in the country; and

(b) the details of the said census, indicating also the time by

which the new livestock census shall be conducted in future?


(Mr. Asad Umar): (a) During the last ten years, Livestock Census has not

been conducted by Pakistan Bureau of Statistics in the country. The last

livestock census was conducted in 2006.

(b) The Agricultural Census Wing of Pakistan Bureau of

Statistics has conducted four livestock censuses during 1976, 1986, 1996,

and 2006 so far. In 2015, the Governing Council of Pakistan Bureau of

Statistics decided to merge all agriculture related censuses into one viz

Agricultural, Livestock and Agricultural Machinery Censuses. Complete

information about livestock will be collected through new and merged

Agricultural Census and no Livestock Census will be conducted in future

separately. However, Pakistan Bureau of Statistics is finalizing

preparations for Agricultural Census, which is now expected to be

conducted after the 7th Population & Housing Census.

109. *Ms. Maryam Aurangzaib:


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(a) the per capita purchasing power parity of Pakistanis as

compared to rest of the countries in the region;

(b) whether it is a fact that the per capita purchasing power of

Pakistanis is less than the rest of the countries in the region;

(c) if so, what steps are being taken by the Government to

increase the per capita purchasing power of Pakistanis?

Minister for Finance and Revenue: (a) According to the latest

available data of the World Bank, GDP per capita Purchasing power parity

(PPP) of Pakistan as compared to the regional countries is as follows:

Country GDP Per Capita PPP (constant 2017

International $) 2020

Pakistan 4,623

Afghanistan 1,979

Nepal 3,303

Tajikistan 3,474

Bangladesh 4,818

India 6,121

Source: World Development Indicators. World Bank

(b) • It is not a fact. The Per Capita Purchasing Power Parity of

Pakistan is not less than rest of the countries in the region as

evident in the above table.

• Some countries in the region are lower than Pakistan in per

capita purchasing power parity like Afghanistan, Nepal and

Tajikistan.

(c) • Per capita purchasing power parity of Pakistan is not lowest in

the region. However, to increase the purchasing power parity,

the Government of Pakistan has introduced a comprehensive

set of economic measures as highlighted below:

I. To stimulate agriculture sector,

(a) National Agriculture Emergency Program of

Rs. 277 bn (13 mega projects are under execution)

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(b) Rabi Package of Rs. 5.4 bn

(c) Minimum Support Price of wheat: Rs. 1,800 per 40

kg.

(d) Agriculture transformation plan

(e) Agriculture credit disbursement target Rs. 1,700 bn

for FY2022

II. To Support Industrialization and Export Promotion

(a) Special package for construction

(b) Tax exemptions for Electric vehicles manufacturers

(c) China-Pak Free Trade Agreement-II

(d) Industrial Support Package

(e) Relief Package for Small & Medium Industries

(f) The size of federal PSDP increased by 40 % from

Rs. 650 bn to Rs. 900 bn

(g) Taxes imposed on exporters have been rationalized

and incentives are given in value-added products

(h) Export of IT and IT enabled services have been

brought under the ambit of 100% tax credit

(i) New Export Facilitation Scheme 2021 has been

launched

III. Government is making all possible measures to improve

the investment climate and to attract FDI in the country

through

(a) Investment Promotion Strategy

(b) Ease of Doing Business Reforms

(c) Special Economic Zones

IV. Under Social protection program, the government has

focused on a bottom-up approach/Kamyab Pakistan

Program (KPP) instead of leaving vulnerable segments

to the mercy of the trickle-down effect.

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V. To control inflationary pressures, various policy,

administrative and relief measures have been initiated.

VI. A relief package of 120 bn announced to provide 30 %

discount on ghee, flour and pulses to 130 mn people for

the next six months.

All these measures shows that Government is committed to correct

fundamentals of the economy through effective policy measures to

increase the per capita purchasing power parity of Pakistan.

110. * Romina Khurshid Alam:


(a) whether the Government considered before imposing

withholding tax on Electricity and Gas bills from commercial

consumers;

(b) whether it is also a fact that most of the business activities are

done in rented buildings and the reason for non-registration

of owners of a building in tax net;

(c) whether it is further a fact that imposition of such tax on

tenants is tantamount to injustice;

(d) whether it is also a fact that despite having the ownership

rights of such buildings, the income of the owners of such

buildings does not come to the threshold of tax revenue;

(e) whether it is further a fact that the burden of such advance

taxes is shifted to the common man;

(f) if the answers to part (a), (b) and (c) above are in affirmative,

what corrective measures are being taken by the Government

in this regard particularly with reference to avoiding advance

taxes?

Minister for Finance and Revenue: (a) Withholding tax on

electricity bills of commercial consumers was introduced through the

Income Tax Ordinance, 2001 which was enforced on 1st day of July,

2002. It was introduced after due deliberation and consideration by the

Government.

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(b) Business activities may be carried out in both rented and

owned buildings. Advance tax on electricity bill was introduced by the

Legislature as a measure for documentation of economy and broadening of

tax base. It is collected from the person whose name is listed at the utility

company which is mostly the owner of the building. The owner earns rent

which is chargeable to tax. The advance tax on electricity bill therefore

becomes part of the liability of the owner.

(c) The advance tax on electricity bill of commercial consumers

was introduced by Legislature as a measure for documentation of

economy and broadening of tax base. In case of taxpayer other than

company the tax collected on monthly bill over and above Rs. 30,000/-

month is adjustable. Yes this is a concern. It is upto the tenant to pass on

the incidence of tax to the owners. Like their mobile SIMS, the regulation

by the concerned Ministry may improve such anomaly.

(d) Under the Income Tax Ordinance, 2001 the income from

property of owners of buildings upto Rs. 400,000 is not chargeable to tax.

Any amount which exceeds Rs. 400,000/- is chargeable to tax. The tax

system is based on voluntary self-assessment as such the owners are

legally bound to file returns. However, the cash nature of transactions

between the owner and the tenant may sometime encourage the owner to

avoid paying tax and filing return.

(e) The advance tax on electricity bill is payable by the owner of

the commercial property in whose name the bill is charged. In case the

owner has rented the property for commercial purposes the bill shall be

paid by the tenant. As tax paid above Rs. 30,000/- month (other than

company) is adjustable. Wherease, in case of company any amount

withheld is ajustable. Hence, the burden is not shifted to the common man.

This tax is adjustable and therefore its burden is not passed on to the end

consumer.

(f) Advance taxes are an important source of revenue for the

state. However, in recent years, advance tax regime has been significantly

reduced. 09 advance tax provisions were removed from Income Tax

Ordinance, 2001 in Finance Act, 2020. Furthermore, 12 withholding tax

provisions have been removed in Finance Act, 2021. The anomaly has

been explained in above paras and requires Ministry of Water and Power

to bring appropriate legislation to improve the situation.

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111. * Dr. Nafisa Shah:



(a) details of development projects, large and small, undertaken

since 2013 by Federal Government district-wise with yearly

allocations; and

(b) details of specific development projects undertaken by the

Federal Government in Distinct Khairpur since 2013?


(Mr. Asad Umar): (a) Development funds under the Public Sector

Development Programme (PSDP) are not allocated district-wise nor on the

basis of the constituency, rather allocations for development programmes/

projects, prepared by the relevant Federal Ministries/ Divisions, as per

assigned Rules of Business and approved by the competent fora. After

approval of PSDP by Annual Plan Coordination Committee (APCC) and

by the National Economic Council (NEC) and on authority of the

Parliament regarding demands for grants for development expenditure

Ministry-wise PSDP is published containing detail of projects including

name, cost, expenditure, allocation etc. These PSDP books are circulated

to all Parliamentarians during the budget sessions.

(b) As mentioned above, the focus of Federal PSDP is on projects

of national significance like upgradation and modernization of physical

infrastructure, better governance, innovative S&T and IT infrastructure

along with social uplift by initiating special regional equalization packages

and initiatives to remove regional disparity. Federal Government has

recently launched Sindh Development Plan for 14+ Priority Districts

including district Khairpur.

As regards specific development projects, the Federal Government

has undertaken 07 projects under PSDP located in District Khairpur since

2013 out of which 04 projects have been completed and 03 are ongoing.

Detail is at Annex-I.

25

Annex-I

Development Projects undertaken in District Khairpur by Federal

Govt. Since FY 2013-14

(Rs. in Million) S# Project Name Cost Allocation

2021-22

Status /

Remarks

1 Essential Need of Strengthening and

Development of MUET, Shaheed Z. A.

Bhutto Campus, Khairpur Mir’s

693.546 - Completed

2 Strengthening of Academic facilities at

Shah Abdul Latif University, Khairpur

655.921 - Completed

3 Strengthening of Infrastructure of Shah

Abdul Latif University, Khairpur

618.300 - Completed

4 Strengthening of Mehran University of

Engineering & Technology Campus at

Khairpur

1486.148 - Completed

5 Upgradation of Government College of

Technology (GCT) Khairpur into the

Benazir Bhutto University of

Technology and Skill Development,

Khairpur Mir’s

1017.733 250.000 On-going

6 Establishment of Post Graduate

Medical Education, Instruction &

Research Center at Pir Abdul Qadir

Shah Jillani Institute of Medical

Sciences (PAQSJIMS) Gambat,

District Khairpur (SD)

1278.600 720.000 On-going

7 Establishment of 14 Regional Passport

offices in Sindh (Jacobabad, Shikarpur,

Khairpur, Ghotki, Sukkur, Mirpur

Khas, Tando Allahyar, Tando

Muhammad Khan, Badin, Sujawal,

Noushero Feroz, Sanghar, Thatha and

Dadu (SD)

980.000 750.000 Umbrella project

under

development

package for 14+

districts of Sindh

Total: 6730.248 1720.000

26

112. * Syed Hussain Tariq:


(a) the maximum number of days that can be relaxed to file tax

returns after the deadline under the income tax Ordinance,

2001;

(b) the last dates for filling tax returns for the last three financial

years; the number of peoples who applied for an extension to

file tax returns;

(c) how many of them were granted such an extension and how

many persons applications were declined;

(d) what was the last date for an individual to apply for such

extension of time for each of the above years;

(e) whether any individual has been allowed over and above

extension to file tax returns in contrary to the aforesaid

Ordinance during the last three Financial Years; if so, the

details and justification thereof;

(f) whether the concerned authorities had authorized to grant

such extension;

(g) if so, the details thereof; if not, under what provisions of

law such extension was given;

(h) whether any discrepancy was found in such matters; if so,

reasons thereof; and

(i) what corrective measures are being taken by the Government

to resolve such discrepancies?

Minister for Finance and Revenue: (a) Commissioner Inland

Revenue can give extension upto 15 days upon receipt of application from

taxpayer in terms of section 119 of the Income Tax Ordinance, 2001 and

the date can further be extended in exceptional circumstances justifying a

longer extension of time.

27

(b) Last date for filing of tax returns for the last three years is

given as under:-

Tax Year Last Date

2019 28-02-2020

2020 08-12-2020

2021 15-10-2021

Detail of number of people who applied for an extension is given

as under:-

Tax Year Number of Applications

2019 30,893

2020 428,716

2021 271,513

(c) Detail of extensions granted / declined is given as under:-

Tax Year Extensions Granted Extension Declined

2019 4,022 3,851

2020 410,962 8,721

2021 270,484 735

(d) Last date for an individual to apply such extension of time for

each year is given as under:

Tax Year Last Date

2019 28-02-2020

2020 08-12-2020

2021 15-10-2021

(e) The provisions of section 119 of Income Tax Ordinance, 2001

empowers Commissioner Inland Revenue to grant extension upto 15 days,

however the time can further be extended when there are exceptional

circumstances justifying a longer extension of time. Therefore, any further

extension, if any, is also governed by statute and given in accordance with

law.

28

(f) Income Tax Ordinance, 2001 empowers Commissioners

Inland Revenue to grant extension in terms of Section 119.

(g) All applicants for extension are adequately dealt with in light

of provision of Income Tax Ordinance, 2001.

(h) Commissioner Inland Revenue ensures correct application of

law and exercises due diligence in performance of their duties in all such

matters.

(i) Chief Commissioner Inland Revenue being administrative

head remains fully vigilant to monitor and oversee performance of

Commissioner Inland Revenue and they make sure to take cognizance of

any discrepancy, if found / reported.

113. * Jam Abdul Karim Bijar:

Will the Minister for Finance and Revenue be pleased to refer to

the Starred Question No.1 replied on 17-09-2021 and to state:

(a) when was the required data received from Khyber

Pakhtunkhawa (KPK) and Controller General of Accounts

(CGA);

(b) how the above data has been analyzed so far and which

authority has done this analysis alongwith the peoples

included in this authority;

(c) whether the ministerial posts of Khyber Pakhtunkhwa have

been upgraded many years ago and at the Federal level such

posts are similar to Khyber Pakhtunkhwa so how much more

analysis is needed on the subject matter;

(d) whether this is not tantamount to delay tactics;

(e) if so, how much further time is needed to finalize such

upgradation?

Minister for Finance and Revenue: (a) The requisite

information/data (total numbers of posts/scales from BPS-1 to 16 exist in

Federal Government) was provided by the CGA office in the month of

29

June 2021. Then this Division compiled the list of cases of upgradation

received during the last two years i.e. 2019, 2020 alongwith total financial

implication occurred on that upgradation, so that a comparison of both

data can be completed. The correspondence with Government of KP was

done by Establishment. However no response of time scale has been

received from Government of Khyber Pakhtunkhwa.

(b) The said analysis is being done by Establishment Division

and Finance Division as required under the policy of upgradation dated

20-01-2001.

The Regulations Wing of the Finance Division and the Regulations

& MS Wing of the Establishment Divisions are mandated dealing with

such cases.

(c) Article 240 (b) of the Constitution of Islamic Republic of

Pakistan, 1973 authorizes the respective legislatures to independently

determine the service terms and conditions of these employees.

Comparison between employees of two federating units cannot be drawn

in view of the above constitutional provision. Moreover, each legislature

so empowered to determine the terms and conditions of its employees

relies on its peculiar needs, its administrative hierarchy and structure and

its financial resource base.

As the exercise involves a large data set and is aimed at arriving at

a decision which bears consequences for structure of almost all Divisions,

the analysis is lengthy and time consuming.

(d) No. As explained above.

(e) As explained above, no delaying tactic is in place. A decision

on desirability / feasibility of post upgradation in the Federal Government

will be taken soon keeping in view all constitutional, legal, financial and

administrative aspects.

114. * Mr. Murtaza Javed Abbasi:



30

(a) the detail of meetings of the Central Development Working

Party (CDWP) convened since 1st January, 2021 indicating

also the date of meeting, agenda item/project name, date of

preparation of PC-I/PC-II of the project, location/cost of the

project and decision taken thereon by CDWP in each case;

(b) the detail of the cases/PC-I’s received from Ministry of

Communications during the said period and presently

pending with CDWP, indicating also the date of the receipt of

PC-I, name of the project, location, land cost of the project;

and

(c) tentative date of placing the pending cases on the agenda of

the upcoming meetings of CDWP and thereafter, referral to

the Executive Committee of National Economic Council

(ECNEC)?


(Mr. Asad Umar): (a) From 1st January, 2021 to 1st November, 2021,

forty (40) meetings of the Central Development Working Party (CDWP)

have been held. Agenda-wise details of the meetings are attached as per

Annex-I. During the said meetings the CDWP considered 319 projects,

out of which 190 projects were approved by the CDWP, while 43 projects

were recommended to ECNEC. The CDWP also returned 09 projects to

the sponsors. The details of projects considered by the CDWP covering

title of projects, location of projects, costs and the decisions of the CDWP

are attached as per Annex-II.

Regarding date of preparation of PC-I / PC-II, it is mentioned that

PC-I/PC-II are prepared by the respective Sponsoring Agency and then

sent to this Ministry for consideration of CDWP, therefore, date of receipt

of these PC-Is / PC-IIs are given.

It is also highlighted here that during the months of May-June,

2021 special sessions of CDWP meetings from 17-5-2021 to 04-06-2021

were convened before NEC meeting. During this period ten (10) meetings

of the CDWP were conducted in which 122 projects were approved.

(b) There were 13 projects received from Ministry of

Communications during this period, out of which 05 projects were

approved by the CDWP while 07 projects being in the competency of the

31

ECNEC were recommended to ECNEC. At present 01 project is pending

for consideration of the CDWP. The details of projects, their locations,

cost and dates of receipt of PC-Is are attached as per Annex-III.

(c) As per approved timelines from Chairman CDWP meetings

are now held fortnightly. Calendar of the meeting is at Annex-V. The

pending projects are under appraisal/scrutiny by the concerned Technical

Sections of M/o PD&SI, for holding of pre-CDWP meetings and then

preparation of working papers for the CDWP. Efforts are made for

placement of received PC-Is/PC-IIs on the agenda of upcoming CDWP

meetings for consideration and thereafter approval/ recommendation to

ECNEC.

(Annexures have been placed in the National Assembly Library)

115. * Sheikh Fayyaz Ud Din:

Will the Minister for Finance and Revenue be pleased to state the

steps being taken by the Government to expand tax net, to cut the

expenditure, to avoid new loans, to discourage the imports of

luxury items and to promote the agricultural sector?

Minister for Finance and Revenue:

Income Tax:

Following measures have been introduced in Income Tax

Ordinance, 2001 for broadening of tax base in Pakistan:-

Maintenance of Active Taxpayers’ List (ATL) and 100%

enhanced rate of advance tax on certain transactions e.g. sale

and purchase of property, purchase of vehicles, supply of

goods / services in case of non-filers.

Sharing of information by NADRA for broadening of tax

base.

The threshold of advance tax on electricity bill has been

reduced from Rs. 75000/- to Rs. 25,000/- in respect of non-

filers of income tax return.

32

Collection of additional advance tax from professionals not

appearing on ATL and operating from residential premises

having domestic electricity connection.

Procedure for investigation and trial of offences under Income

Tax Ordinance, 2001 have been aligned with that of Sales Tax

Act, 1990 in order to penalize concealment of income and to

bring high net worth individuals into tax net.

Tax credit for Point of Sale (POS) integration has been

introduced in order to bring more Tier-I retailers into tax net.

Advance tax under section 236G on distributors, dealers, sub-

dealers, wholesalers, and under section 236H on retailers has

been extended to pharmaceuticals, poultry and animal feed,

edible oil and ghee, battery, tyers, varnishes, chemicals,

cosmetics and IT equipment.

Special tax regime for SME sector has been introduced to

bring manufacturers into tax net.

Sales Tax:

For the purpose of broadening of tax base and to encourage the

business community to get themselves registered with the sales tax

department following legal measures have been introduced:

Powers have been granted to FBR under section 14A to direct

the gas and electricity distribution companies for

discontinuance of gas and electricity connections of any

persons required to integrate their outlets with the Board or

notified tier-1 retailers, who fail to integrate for the sales tax

purposes.

Extra tax has been enhanced on industrial and commercial gas

and electricity connections to persons, who failed to either

obtain sales tax registration number and are not on the Active

Taxpayers List maintained by the Board, vide SRO

1222(I)/2021, dated 17th September, 2021. New rates of extra

tax are as under:

33

S.

No.

Type of consumer

connection

Amount of monthly

bill

Rate

(1) (2) (3) (4)

1. Industrial - 17%

2. Commercial

Upto Rs. 10,000 5%

10,001 to 20,000 7%

20,001 to 30,000 10%

30,001 to 40,000 12%

40,001 to 50,000 15%

50,001 and above 17%

The scope of section 73 of the Sales Tax Act, 1990 has been

enhanced. Resultantly, subject to certain conditions, every

registered person is required to make taxable supplies to a

registered person only, failing which the proportionate input

disallowed if supplies made to unregistered person.

Online market places are required withheld 2% Sales Tax of

the gross value of supplies if the supplier is not on Active

Taxpayers List (ATL) in terms of S. No. 8 of Eleventh

Schedule to the Sales Tax Act, 1990.

Customs

The question partially relates to Customs Wing of FBR and

reply is submitted as under:

(i) Step taken to discourage the import of luxury items:

The Federal Government has taken steps to discourage import

of luxury/non-essential items through imposition of

Regulatory Duty on 599 items ranging between 5% - 35%

vide SRO No. 840(I)/2021 dated 30-06-2021 (Annex-I).

(ii) Step taken to promote the agricultural sector:

The Federal Government for the promotion of agriculture

sector has introduced concessionary rate of duties on many

agriculture products like Wheat, Sunflower Seeds, Mustard

Seeds, Canola Seeds, pesticides, agriculture tractors etc. under

5th Schedule to the Customs Act 1969 (Annex-II).


34

116. *Ms. Maryam Aurangzaib:


(a) what was the ratio of food inflation in the country as on May

31st, 2018 and at present time;

(b) whether it is a fact that food inflation has risen significantly

since the inception of the current Government; if so, the

reasons thereof;

(c) whether it is not tantamount to the failure of Government

policies to deal with increasing trend of such inflation and

matters ancillary thereto;

(c) if so, what steps are being taken by the Government to bring

food inflation to an affordable level to ensure affordable food

prices for every citizen; and

(e) how long more time will these measures take, to start benefit

for the common man?

Minister for Finance and Revenue: (a), (b) & (c)

Months Food (Urban) Food (Rural)

May 2018 3.1 1.7

October 2021 9.4 7.2

Source: PBS

• The food prices have risen globally because of shortage of the

supply of commodities due to Covid-19 and high demand.

• Pakistan has also been affected, as the country is a net

importer of food items especially wheat, sugar, pulses and

edible oil. Hence, the food inflation is not a domestic

phenomenon.

35

International Prices

Months Sugar(S/mt) Palm oil

(S/mt)

Soyabean

oil (S/mt)

Wheat

(S/mt)

Crude oil

( S/brI)

May 2018 270 603.5 719.1 210 71.6

Oct 2021 420 1307.0 1483 263.6 83.7

% Change 55.6 116.6 106.2 25.5 16.9

Source: Pink sheet (World Bank)

• Present government has made difficult decisions of upward adjustment in overdue gas and electricity prices, market-based exchange rate adjustments etc. to correct the macroeconomic imbalances.

• The Exchange rate in May 2018 was Rs. 115.4 while at present Rs. 168.1 which means that import also become more expensive hence impacted the domestic inflation.

• The inflationary pressure is a global/regional phenomenon, as inflation is recorded in Iran 39.2% (Oct 21), Turkey 19.5% (Sep 21) and Kyrgyztan 13.5% (Sep 21).

• The government has been effectively managing the required supply of all the essential items by bridging the demand supply gap with imports to ensure sufficient supply of food items in the country to control price escalation. This shows government‘s efforts in controlling prices through supply management policies.

• Government is also building strategic reserves of wheat, sugar, pulses and edible oil to ensure price stability in the country.

• Government is also expanding the network of Sasta Bazars and Utility Stores outlets for provision of smooth supply of daily use items.

• National Price Monitoring Committee (NPMC) and District Price Control Committees are actively monitoring the prices of essential items all over the country to ensure their availability at reasonable prices.

• Government is also committed to established USC outlets all across the country to provide relief to common man.

36

(d) To ease out the inflationary pressure the Government is taking

Administrative, Policy & Relief measures:

Administrative Measures:

• Weekly National Price Monitoring Committee meetings

under the Chairmanship of the FM to ensure smooth supply of

essential items and to monitor the prices by provincial and

Federal organizations.

• Government is also expanding the network of Sasta Bazars

and Utility Store outlets for provision of smooth supply of

daily use items.

• Competition Commission of Pakistan is taking proactive

measures to control Cartelization and undue Profiteering.

• District Price Control Committees are actively monitoring the

prices of essential items to ensure their availability at

reasonable prices.

Policy Measures:

• Government is importing wheat (2.0 MMT) and sugar (0.3

MMT) to ensure their smooth supply at reasonable prices.

• Maintaining strategic reserves of wheat, sugar, ghee and

pulses. M/o NFS&R and M/o Industries and Production are

working on it to ensure their sufficient supply.

• Strategy for reducing profit margin between wholesale and

retail price of essential items by analysing the value chain of

these items is being worked in consultation with provincial

Chief Secretaries.

• Under the Prime Minister‘s comprehensive Agriculture

Transformation Plan, the government is focusing on Medium

& long term strategy for raising production of essential

imported food items including edible oil and pulses.

• Government is implementing National Agriculture

Emergency Program amounting Rs. 277 billion to uplift

37

agriculture and livestock sector on modern lines and to

enhance the production level of major and minor crops.

• Government is focusing on the targeted subsidy on essential

items to the deserving poor class for which sufficient funds

are being provided.

Relief Measures:

• Government has decided to release wheat at the price of

Rs. 1950 per 40 kg to ease out its price and ensure smooth

supply in the market and flour mills would provide 20 kg bag

for Rs. 1,100. Provincial governments except Sindh already

started release of wheat, it would also start release in few

days.

• Government decided to set the price of sugar at Rs. 90/kg

across the country. Government of Punjab is taking measure

to make available imported sugar at retail shops at Rs. 90 per

kg through dealers in all the districts.

• The pro poor allocations under BISP in 2018 amounts to

Rs.121 billion which has been enhanced to Rs. 260 billion in

FY 2022 under the EHSAAS program. Government has

further decided to provide cash subsidy on wheat flour, sugar,

ghee and pulses.

• A relief package of Rs.120 bn announced to provide 30

percent discount on ghee, flour, and pulses to 130 million

people for the next six months

• Budgetary allocation (FY-2022) for Ehsaas program has been

increased from Rs. 210 billion to Rs. 260 billion: an increase

of 24%.

• Ehsaas Emergency Cash Program: the government has

disbursed Rs. 179.3 billion to 14.8 million beneficiaries to

provide immediate cash relief of Rs. 12,000 whose livelihood

has been severely affected by the pandemic.

• The Panagahs for jobless and poor has been extended across

the country to provide meals and shelter for unemployed.

38

(e) • According to the World Bank commodity market outlook, -

Agricultural prices are expected to decline modestly in 2022

and 2023, as supply conditions improve.

• Upside risks to agricultural prices include high input prices,

especially fertilizers, and more diversion of food commodities

to the production of bio fuels linked to efforts to decarbonize

the global economy.

• Inflation in the country is determined by the domestic and

international factors. At present government aims to increase

agriculture productivity and provision of Agri-loans to ensure

food security.

• An agriculture transformation plan has been devised for this

purpose. Under this plan, support will be provided from water

to seeds, fertilizer, agri-credit, tractors and machinery,

commodity warehousing, cold storage, and the food

processing industry.

• We expect that due to policy, administrative & relief

measures of the government the inflationary pressure will

ease out over the medium term.

117. *Mr. Muhammad Jamal-Ud-Din:

Will the Minister for Commerce be pleased to state:

(a) number of disputes/cases which are pending in World Trade

Organization (WTO) in which Pakistan is party, if any; and

(b) details of measures have been taken or being taken by the

Government for reaching settlement without involving WTO

with mutual understanding?

Minister for Commerce: (a) There is one pending case in the

WTO where Pakistan is a party and three cases where Pakistan is a Third

Party.

The details of the cases is attached as Annex-A.

39

(b) In line with Article 4 of the Dispute Settlement Understanding

of the WTO, ―Consultations‖, is the first step of the dispute settlement

mechanism under the WTO. At the first instance in every dispute,

Members are required to settle their disputes mutually through

consultations. Only in case that consultations fail to resolve the issue

between parties, the aggrieved party can request to the Dispute Settlement

Body the establishment of the Panel to examine the dispute. The Members

can also resolve their disputes through binding arbitration, without

following the procedure given in the dispute settlement understanding,

under Article 25 of the Understanding on Rules and Procedures Governing

the Settlement of Disputes.

Annex-A

Pending disputes/cases at the WTO

Date Dispute /

Case No.

Title Status

24 January 2018 DS538 Pakistan —

Anti- Dumping

Measures on Biaxially

Oriented Polypropylene

Film from the United

Arab Emirates.

Complainant: UAE

Pakistan filed an appeal in

Appellant Body (AB) on 25th

February, 2021. The appeal is

pending as currently, the AB is

unable to review appeals given

its vacant positions as United

States vetoed their

appointments in Dispute

Settlement Body of the WTO.

Disputes/Cases where Pakistan is a third party at the WTO

Date Dispute /

Case No.

Title Status

2 September

2019

DS 588 India — Tariff Treatment on Certain

Goods in the Information and

Communications Technology Sector.

Complainant: Chinese Taipei

Dispute at panel stage

10 May 2019 DS584 India — Tariff Treatment on Certain

Goods.

Complainant: Japan


2 April 2019 DS582 India — Tariff Treatment on Certain

Goods in the Information and

Communications Technology Sector.

Complainant: European Union


40



(a) whether the Competition Commision of Pakistan has fully

investigated unfair trade practices of auto manufacturers who

took advantage of all Government benefits of tariff and non-

tariff for the supply of vehicles;

(b) whether it is a fact that they promised for smooth, honest and

fair services of all types to customers but they actually

performed contrary and otherwise including not delivering

vehicles on time besides introducing the concept of own

payment or rate;

(c) whether it is a fact that auto manufacturers are not even

providing spare parts of their own dealership; if so, the

reasons thereof;

(d) whether there is any proposal under consideration of the

Government to hold auto-manufactures accountable for their

unfair trade practices in order to protect common consumer

rights; and

(e) the time by which action will be taken in the matter?

Minister for Finance and Revenue: (a) To protect consumers

from anti-competitive behavior and promote competition in the

automotive market, the Competition Commission of Pakistan (CCP) has

taken, inter alia, the following actions in the auto-sector of Pakistan:

i. Conducted a Competition Impact Assessment Study on

the Automobile Industry of Pakistan in February 2013 where the CCP identified that there were only three major

players in the passenger car market, each of which dominated

a different segment of the market. Therefore, the noticed

vulnerability in the automobile industry was the lack

of foreign as well as domestic competition. The

recommendations proposed by CCP are at Annex-A.

ii. Amendment of Indus Motor’s Provisional Booking Order

(PBO): On 8th November 2013, CCP passed an Order

41

directing Indus Motors to amend various unfair trading terms

which in violation of Section 3(3) (a) of the Competition Act,

2010. The details of said PBO are at Annex-B.

iii. PAMADA Order: On 10th April 2015, CCP issued an order

against PAMADA where it found PAMADA to have been in

violation of Section 4(I) and (2)(a) of the Act in relation to

fixing of prices in the market for body repair and paint jobs,

fixing prices of spare parts and imposing/passing a decision to

restrict provision of services by restricting the movement of

human resources among undertakings. CCP imposed a

penalty of PKR 140 million on the Association.

iv. Open Hearing: In April 2018, CCP conducted open hearing

of all stakeholders in the auto-sector and issued an opinion on

Competition Concerns in the Automobile Sector.

Recommendations of the opinion are at Annex-C.

v. Proceedings Initiated under Section 30 against Al Ghazi

Tractors and Millat Tractors: Recently, vide Enquiry

Report dated 13 September 2021, the Enquiry Committee

prima facie found two leading tractor manufacturers of the

country Millat Tractors Ltd (MTL) and Al-Ghazi Tractors Ltd

(AGTL) involved in abuse of their dominant position in

Pakistan by establishing a cartel. Considering the findings of

the Enquiry Report, CCP has issued SCNs to the said parties.

The details of proceedings are at Annex-D.

(b) The CCP has been mandated to provide free competition in all

spheres of commercial and economic activity, to enhance economic

efficiency and to protect consumers from anti-competitive behavior. The

CCP is not the sector regulator and cannot, except to the extent stated

above, comment on any promise made by the auto manufacturers. In this

regard, the CCP is only concerned with the behavioral aspects of

undertakings including entities and individuals who indulge in

malpractices, such as collusion and fixing of prices or abusing their

dominant position through cornering the market.

Currently, the CCP, as per its mandate, is conducting an enquiry

under section 37(1) of the Act to detect any anti-competitive practices in

the auto sector of Pakistan, which in its scope includes scrutiny of

practices such as:

42

a. Unreasonable increase in the price of cars

b. Increase in the price of cars after booking of a car on partial

or full payment

c. Charging of ON money on early delivery.

(c) The CCP, under Section 37 of the Act, may conduct enquiries

into any matter relevant to the purposes of the Act:

i. on its own.

ii. upon a reference made to it by the Federal Government.

iii. or upon a complaint received from an undertaking or

registered association of consumers.

Although the CCP has not received any formal complaint in

writing from an undertaking as per the provisions of Section 37(2) of the

Act, concerns were highlighted by various stakeholders in relation to

possible anti-competitive practices in the automobile sector, hence, the

CCP, suo motu is investigating the matter.

(d) As stated above, the CCP, as per its mandate, is already

conducting another enquiry in the auto-sector.

Further, the Federal Cabinet in January 2021, directed the Ministry

of Industries to inquire into the production capacity of existing car makers,

alleging that they have failed to increase their output as per the market

demand resulting in overcharging and increase in prices of locally

assembled cars.

The CCP is currently undertaking review of auto-manufacturer

agreements in Pakistan (to form part of its Exemptions analysis under

Section 5 of the Act) which agreements may contain vertical restraints that

may cause competition concerns. Such review is expected to be completed

by the end of the year 2021.

(e) The aforementioned enquiry initiated under Section 37(1) of

the Act is expected to be concluded before the end of the financial year

and further action will be taken based on findings of the current enquiry.

(Annexures have been placed in the National Assembly Library).

43

119. *Mr. Qadir Khan Mandokhail:


(a) the number of jobs, as well as quota, given to the poor people, out of the revenue collected or being collected from NA-249 under the head of Karachi Port customs and industries; and

(b) the amount spent under the head of development works?

Minister for Finance and Revenue: (a) It is submitted that appointments in Federal Government jobs is done specifically under rule 3(1)(2) of the ―Civil Servants (Appointment, Promotion, Transfer) Rules, 1973 (Annex-A) whereby, a vacant post can be filled by either a promotion, by a transfer or by an initial appointment.

(2) Under the said rules the conditions for an initial appointment and the required qualifications for a post are laid down by the concerned Ministry or Division, in consultation with the Establishment Division.

(3) Regarding the query pertaining to job-quotas for NA 249, it is submitted that there is no legal provision allocating constituency-wise job quotas (Annex-B).

(4) As regards the part “Revenue Collected from NA-249 under head of Karachi Port Customs and Industries”; It is clarified that the revenue collected at ports does not reflect the revenue due to economic activity in that geographical area. The ports being international entry points for inbound trade, the revenue collected at ports is for the economic activity of whole of the country. However, the details are as follows:

(Rs. In Billion) Collectorates Customs Duty *Total Duty/

Taxes

F.Y 2020-21

Appraisement(East), Karachi 136 330

Appraisement(West), Karachi 211 588

Enforcement, Karachi 45 119

Total 392 1,037

* NOTE: Total Duty / taxes includes customs duty, sales tax,

Withholding tax and Federal Excise Duty.

44

(b) Regarding the query of amount spent on development work; it

is submitted that matters pertaining to expenditure on development work

do not pertain to the FBR, which only deals with revenue collection.


120. *Syed Hussain Tariq:


(a) whether it is a fact that the trade deficit has widened again in

2020-21, while according to the latest World Bank data,

Pakistan’s share in world trade has dropped to less than 26%

in 2020 and it is decreasing further in the current year;

(b) if so, whether the Government reviewed the structural flaws in

Pakistan’s foreign trade model that make it difficult to sustain

exports in the long run;

(c) if so, details and the type of structural flaws that have been

identified;

(c) why Pakistan’s foreign trade model has not been able to

absorb the trade balance during the last three years;

(e) if so, what corrective measures are being taken by the

Government to formulate long-term policies that not only

enable industries to absorb imports and eliminate structural

shortcomings for the production of valuable exported goods?

Minister for Commerce: (a) The Covid-19 pandemic has caused

a decline in global trade due to decreased global demand and disrupted

supply chain. This trend has also been witnessed in Pakistan; thus,

dropping Pakistan‘s share in global trade / along with other countries

(Table-A). Pakistan‘s trade deficit had been on declining trend till FY

2019-20 but widened due to Covid-l9 pandemic (Table-B):

45

Table-A

Countries

3 Years Average Annual

Growth in World Trade

Share (2018-20)

Growth:

2018 vs 2020

World -3.697% -10.685%

USA 0.121% -10.362%

France -1.797% -15.415%

UK -0.272% -11.412%

India -4.734% -22.778%

Russia -2.520% -17.269%

UAE -14.684% -44.536%

KSA -7.090% -28.368%

Iran -34.660% -75.085%

Egypt -4.491% -22.187%

Kuwait -10.998% -37.032%

Bangladesh -0.389% -11.724%

Pakistan -3.283% 19.196%

Bahrain -17.707% -50.224%

Source: ITC

Trade Map

Table-B

Value in Million U.S.$

Years Exports Imports Trade

Balance

2016-2017 20,422 52,910 32,488

2017-2018 23,212 60,795 37,583

2018-2019 22,958 54,763 31,805

2019-2020 21,394 44,553 23,159

2020-2021 25,304 56,405 31,101

Source: PBS

(b) Thorough analysis is undertaken by the Ministry of

Commerce on regular basis to review developing trade profile of the

country especially in the context of post Covid-19 gradual opening up of

the world economies and necessary policy and trade facilitative measures

are being taken to rein in country‘s widening trade deficit through

enhanced export growth.

(c) & (d) Reasons which resulted increased trade deficit over the

years is given as under:

46

Reasons For Declining Exports:

• Pakistan‘s structure of exports has remained titled in favor of

low value-added products. There is lack of product

diversification and concentration of primary and intermediate

goods, rather than value-added finished products This

increased Pakistan‘s vulnerability of Pakistan‘s exports to

ever changing international prices and therefore price impact

has greatly impacted Pakistan‘s exports over the years.

• Inability of Pakistani companies to fully comply with

international standard requirements for export enhancement

• More reliance on exports to USA, EU and China.

• The high tariff on imported raw material increased the cost of

production thus making it difficult for the Pakistani products

to compete in the international market. Pakistan‘s tariff

regime over the years has warded off competition in the

domestic markets leading to anti export bias and hence

inefficient markets and firms. Due to supernormal profits

domestic players are hardly interested in exporting abroad.

• Pakistan could not develop well-functioning SEZs and EPZs

and therefore investment could not be channeled into export-

oriented products.

• There has been a flurry of FTAs in the region since early

2000s. Pakistan‘s progress in FTAs has been slow due to

revenue measures leading to loss of margin of preference for

our exporters. The recent CPFTA has broken the shackles and

laid foundation for negotiations of future FTAs bring market

access for our finished products and improving accessibility

to essential industrial products at eliminated tariffs.

• Pakistan has delayed most of its trade facilitation reforms

include National Single Window, automated border

management, authorized economic operators, primitive risk

management practices and others. This has led to substantial

competitiveness losses due to manufacturers and exporters.

• The exchange rate remained volatile during the period which

kept exporters cautious for future trading.

47

• Lack of labor productivity growth compared to competitors

has been a huge issue. A well-functioning and need based

skills development plan have been a miss.

• Absence of efficiently working EXIM Bank, leading to lack of

specialized export financing and export insurance, protection.

• Liquidity problems faced by exporters due to pending rebates

on exports, sales tax refund and special initiative rebates on

exports.

• Global slowdown in the international demand.

• Uncertain geopolitical conditions and fiscal challenges

continued to halt positive impact of the policy measures,

resulting in the sluggish growth of exports. Pakistan is

situated in a volatile region which is marked by conflicts

specially in Afghanistan. As a result, Pakistan has seen

spillover of the instability in the Afghanistan and suffered

immensely in terms of economy also. These issues led to

unsustainable export growth which in turn triggered frequent

boom and bust cycles and hence affected exports even further.

• Energy provision at regionally competitive prices has been a

huge issue over the year and has dented Pakistan‘s

competitiveness for exports significantly. Country suffered

long delays in institution of feasible energy projects. The

inefficient, unreliable and tax burdened energy sector is a

major impediment towards exports growth.

Reasons For Increasing Imports:

• The increase in CPEC-related imports (machinery,

mechanical equipment and construction material etc.) was by

far the most important factor in the rising imports during the

period under consideration.

• With improvement in law-and-order situation, demand for

various consumer products increased which was met through

imported products this led to increase in food and luxury

items.

48

• Increasing industrialization required more inputs and raw-

materials. Thus, imports of office and data processing

machinery and raw materials also experienced surge during

the period.

• Import of essential items like wheat and sugar to stabilize

prices in the local markets and maintain strategic stocks and

address any incident of shortages. .

(d) Pakistan‘s trade balance could not improve due to above

mentioned reason.

(e) The following export enhancement measures had been taken

by the government to increase export and thus reduce trade deficit:

i. PM PACKAGE OF INCENTIVE FOR EXPORTERS:

In 2018, Pakistan‘s export had been adversely affected due to high

energy costs, exchange rate appreciation and high import tariffs on inputs.

To arrest this declining trend of exports, the Economic Coordination

Committee (ECC) of the Cabinet approved Prime Minister‘s Package of

Incentives of PKR 180 billion for exporters of Textile and Non-Textile

sectors on shipments made from 16th January, 2017 to 30th June, 2018,

which was specifically aimed at improving competitiveness of the export

sector. As a result of this incentive, country‘s export competitiveness

showed signs of positive growth. Hence, to keep up the momentum of this

growth trajectory, the Package, with the approval of the ECC of the

Cabinet, was further extended for three consecutive years. The Drawback

schemes expired on 30th June 2021. The MoC has conduct an impact

assessment study of the schemes and is in the process of formulation of a

new scheme to replace the previous one.

ii. TARIFF RATIONALIZATION THROUGH NATIONAL

TARIFF POLICY:

The first ever National Tariff Policy (NTP) 2019-2024 was

approved by the Federal Government on 19th November, 2019. In order to

meet the objectives of the NTP and to remove distortions in the tariff

structure, in line with the requests received from the public and the private

sectors, tariffs were rationalized as per details given below:

49

• Implementation of National Tariff Policy 2019-24 (FY

2020-21 Performance)

(a) ACD on 1623 Tariff Lines, consisting of basic raw

materials, was removed.

(b) CD on 90 Tariff Lines, consisting of intermediate

goods/inputs, not manufactured locally, was reduced

from 11% to 3% and 0%.

(c) In order to implement the ―Make in Pakistan Initiative‖

of the Government, tariffs were rationalized on 112

Tariff Lines.

(d) RD on 36 Tariff Lines of Iron & Steel Sector was

reduced.

(e) ACD and RD on 164 Tariff Lines of Textile Sector, not

local manufactured, were removed in order to increase

the share of Man Made Fiber (MMF) in textile exports.

(f) In order to meet the demand of value-added Textile

Sector, 5% CD and 5% RD on import of Cotton yarn was

removed till 30th June, 2021.

(g) ACD on 152 tariff lines pertaining to raw materials,

mostly chemicals, used by the local manufacturing sector

was removed.

• Implementation of National Tariff Policy 2019-24 (Budget

FY 2021-22 Performance)

(a) Reduction of ACD from 7% to 6% in 20% slab.

(b) Tariff Rationalized of Tourism Industry as per request of

Pakistan Tourism Corporation Development (PTDC).

(c) Tariff Rationalization of the Textile sector as per study

conducted by Tariff Policy Centre.

(d) Individual tariff rationalization requests, received from

various industries, have been taken into account by the

Tariff Policy Board in line with the objectives of the NTP.

50

(e) Customs Duty reduction from 11% to 3% & 0% on items

not locally manufactured.

(f) Tariff Rationalization of Pharmaceutical sector as per

request of MoNHSR&C and Pakistan Pharmaceutical

Manufacturers Association.

(g) Tariff Rationalization of flat products of Iron and steel

sector as per recommendations of Tariff Policy Centre.

(h) Reduction of Customs duty from 3% to 0% on items not

locally manufactured.

(i) Duties on raw materials, used by the manufacturers of

Covid-19 related items, have been removed at the

request of MoNHSR&C.

(j) RDs on non-essential items, as per recommendations of

FBR, have been increased.

(k) Tariff rationalization of Auto Sector as per

recommendations of Ministry of Industries and

Production.

iii. e-COMMMERCE POLICY:

Pakistan announced its first ever e-Commerce Policy, prepared by

Ministry of Commerce, on 1st October, 2019. The Policy aims to provide

a launching pad to Pakistan‘s e-Commerce market and its exports, while

proving to be a driver of youth empowerment and employment generation,

export development and increase investment/FDI in Pakistan through

digital connectivity. An e-Commerce business facilitation hub will be

created, by ensuring facilitation for free-lancers, e-Commerce initiatives

and startups through effective coordination with SECP, FBR and SBP. Pak

e-SME program will be initiated to identify, train, enable and connect

50,000 eSMEs of the remote areas of Pakistan to online market places for

promoting e-Commerce. An e-Commerce Aggregator will be developed

with Public Private Partnership to show-case e-Commerce companies of

Pakistan to the world. Moreover, Pakistan has been added officially in the

sellers list of Amazon on 21st May, 2021 — one of the world‘s largest

e-Commerce platform.

51

iv. ENACTMENT OF GI LAW AND NOTIFICATION OF

GI RULES:

The Geographical Indications (GI) Law was finalized after

consultation with public and private sector stakeholders and forwarded to

the Ministry for enactment by the Parliament. Accordingly, the

Geographical Indications (Protection and Registration) Act, 2020 was

passed by the Parliament in March 31, 2020. GI Rules there under were

notified on 28th December, 2020. Pakistan received the geographical

indication (GI) tag for its Basmati rice on January 26, 2021. GI tag will

provide protection to Pakistani Rice against misuse or imitation, hence,

will guarantee that its share in the international market is protected.

Chounsa Mango, Sindhri Mango and Kinnow have been approved by the

Cabinet on 13th April, 2021 to be registered as Pakistan‘s Geographical

Indication (GI). Geographical Indication (G.I) registration has been

processed for ―Pink Salt‖.

Accession to Madrid Protocol: Pakistan joined the Madrid

system of international registration Trademarks, on 24th February, 2021.

With the accession to the Madrid system, the Trademark holders of

Pakistan will be able to protect their trademarks in more than 100

countries by filing a single application at WIPO via IPO Pakistan. The

business community of member countries will also be able to get

protection of their Trademarks in Pakistan by using Madrid route. It is

win-win situation for traders of both Pakistan and its trading partners to

get protection of Intellectual Property Rights to promote genuine

businesses in their markets as well as instilling confidence in potential

foreign investors.

v. STRATEGIC TRADE POLICY FRAMEWORK 2020-2025:

The upcoming Strategic Trade Policy Framework (STPF) 2020-25

aims to enhance export competitiveness of Pakistan through a framework of

interventions having an impact across the value chains. The STPF intends to

make the policy implementation unidirectional by correcting the chronic

policy fragmentation related issues that have undermined the effective

implementation of previous Trade Policy Frameworks. The ECC of the

Cabinet in its meeting held on 31st March, 2021 has approved the

formulation of National Export Development Board (NEDB) envisaged

under the STPF to oversee its implementation. The NEDB has been notified

on 8th July 2021. ECC of the Cabinet in its meeting held on

04-11-2012 has also approved-Strategic Trade Policy Framework 2020-25.

52

vi. TEXTILE POLICY 2020-2025:

In tandem with STPF, the 3rd Textile Policy 2020-25 is also being

launched by the Ministry of Commerce. The Policy is aimed at utilizing

the potential of home-grown cotton augmented by Manmade Fiber /

Filament to boost value-added exports and become one the major players

in global textile supply chain. The Textile sector will provide a conducive

business environment; consistent, predictable and foreseeable measures

will be taken to create a level playing field for the domestic and export-

oriented textiles value chains.

vii. IMPROVED EFFICIENCY OF TRANSIT THROUGH

PAKISTAN AND REGIONAL CONNECTIVITY:

New border points opened for trade with Afghanistan and Iran

Ghulam Khan BCP opened for ATT, Kharlachi notified as rebatable BCP

to enhance exports, Customs & banking facilities being established at all

BCPs. The Protocol No. 6 for extension of Afghanistan-Pakistan Transit

Trade Agreement (APTTA-2010) for the period of six months was signed

on 8th July, 2021. Furthermore, National Trade and Transport Facilitation

Committee (NTTFC) has been reactivated and the meetings are being held

regularly to ensure progress on TIR and other trade related transport and

logistics issues). TIR Rules being rationalized, ATT bulk shipments

allowed thru Gwadar port, Joint Check Posts of all agencies established at

BCPs to reduce clearance time, scanning regime rationalized and removal

of transshipment restrictions.

Moreover, Pakistan-Uzbekistan Transit Trade Agreement

finalized. Preferential Trade Agreements (PTAs) with Uzbekistan &

Afghanistan under advanced stage of negotiations; Negotiations have been

resumed with Gulf Cooperation Council (GCC) for Free Trade Agreement

(FTA) after years. MoU on Establishment of Border Sustenance Market

places with was signed on 21st April, 2021 in Tehran.

viii. MARKET ACCESS INITIATIVES:

The Ministry of Commerce has been in the continuous process of

formulating market penetration strategies in collaboration with TDAP and

Trade Missions for Potential / Non-Traditional Markets i.e., South Asia,

Central Asia, Africa, South America, Russia and South East Asia etc. to

promote and facilitate exports to the untapped markets which hold

immense potential for Pakistan to enhance its market share.

53

To have better market access for Pakistani products, the

Government has taken the following initiatives:

Pak China FTA Phase-II: Pakistan has signed the second phase

of Pak-China FTA, effective from 1st January, 2020, under which duty on

313 Tariff Lines will be reduced to zero by China. The enhanced market

access will further diversify Pakistan‘s export in these Tariff Lines.

Implementation of Phase-II of the China-Pakistan Free Trade

Agreement from 1st January 2020 followed by awareness campaign

through ten seminars to apprise the business community of Pakistan about

the benefits of this Agreement. Moreover, holding of Trade & Investment

Conference in November-2018 in Shanghai-China and in April 2019 in

Beijing during visits of the Prime Minister of Pakistan.

Settlement of mutual financial claims with Russia: An

Agreement was signed between the Government of the Islamic Republic

of Pakistan and the Government of the Russian Federation on settlement

of mutual financial claims and the obligations on operations of the former

USSR. A 39-year-old trade dispute has been settled in which it was decide

that Pakistan would return US$ 93.5 million within 90 days of the signing

of the agreement. NBP has been instructed to complete all codal

formalities and the disperse the amounts as per Cabinet‘s decision.

Pakistan Turkey Business and Investment Forum: The first

ever Pakistan Turkey Business and Investment Forum was held on 13-14th

February, 2020 to promote trade and investment opportunities in Pakistan

for the Turkish side. 40 Turkish companies participated and around 450

meetings were held for possible Joint Ventures and to explore avenues of

cooperation.

Entry of Pakistani Rice in Russian Market: Russia has recently

allowed import of Pakistani rice; initially four firms have been allowed

and more will be allowed after virtual inspection by Russian Authorities.

Re-entry of Pakistani Kinnow into UK market: Due to the

continuous efforts of this office, Pakistan Secured re-entry of Pakistani

Kinnow into UK market.

Resumption of Flights by British Airways: The commercial

section with collaboration of Pakistan High Commission London managed

to convince the British Airways authorities to resume their flights to

Pakistan.

54

Virtual International Rawal Expo: Virtual International Rawal

Expo (VIRE) 2020 was held by Rawalpindi Chamber of Commerce

virtually, enabling the Dutch companies to attend the event.

Pak-Italy Textile Technology Center Pak-Italy: Textile

Technology Center was established in Faisalabad in December 2020. The

Center will focus on technology upgradation and skill development in

textile exports. The textile machinery for the center was secured free of

cost from Italian Government/Italian trade Agency (ITA). Master Trainers

were also arranged from Italy.

Pak Italy Footwear Technology Center: Pak Italy Footwear

Technology Center was established in Lahore in October 2020. The center

focuses on upgradation of manufacturing and training facilities in

footwear exports.

Export of Services Mode-IV in Italian: Labour market Pakistan

export of Services Mode-IV in Italian labour market was revived after

exclusion of Pakistan from the list of countries that are eligible to export

labour services to Italy.

Export of Medical Services Mode-IV: Italian authorities agreed

to allow as well as review and accommodate Pakistani Doctors and

paramedics on long term basis, thus opening of export of Medical services

Mode-IV allow Pakistani Doctors and paramedics to practice in Italy.

Adventure tourism: Italian climbers, skiing, trekking and rafting

clubs were approached to promote adventure tourism in Pakistan. Italian

Team of climbers Headed by Ms. Tamara Lunger was sent to Pakistan for

winter ascent of K2 in Dec 2020.

Market Access by China on Yarn, Rice and Sugar: The Chinese

Government has granted one-time duty-free buying arrangement of US$

01 billion access to Pakistan in yarn, sugar and rice.

Enhanced Market Access offered by Indonesia: As a result of

concerted negotiations, Ministry of Commerce has been able to get market

access from Indonesia on additional 20 tariff lines. Exports in these 20

tariff lines will further diversify Pakistan‘s exports to Indonesia, for

Pakistan‘s global export in these lines amount to US$ 4 billion.

Enhanced Market Access offered by Sri Lanka: In Dec, 2019,

three new varieties namely, PK 385 and or Super Kernel grade, 1121

55

Kianat Rice, PK 198/D 98 Basmati Rice have been added to the list of

Rice having duty free access to Sri Lankan market.

New Markets: To further diversify Pakistan‘s exports to non-

traditional markets, the Ministry of Commerce has launched the

“Look Africa” policy to promote and facilitate exports to the untapped

markets of African region, which hold immense potential for Pakistan to

enhance its market share.

Enhanced engagement with top 10 African Economies: The

Ministry of Commerce has enhanced interaction with African

Ambassadors/High Commissioners based in Pakistan, and directed the

trade officers posted in African countries to intensify engagement with

respective Governments and business leaders.

a. 6 new commercial sections in Egypt, Tanzania, Ethiopia,

Sudan, Algeria, and Senegal have been opened. Moreover,

accreditation has been granted to four existing Trade Officers

as follows:

i. Commercial Councilor Kenya (Uganda, Rwanda,

Burundi, Eretria)

ii. Commercial Secretary South Africa (Botswana, Lesotho,

Namibia, Swaziland)

iii. Commercial Councilor Morocco (Tunisia, Mauritania)

iv. Commercial Secretary Nigeria (Niger, Chad, Cameroon,

Ghana, Benin)

b. Arrangement of Look Africa Trade Forums in Major

Cities: ―Look Africa Trade Forum‖ was organized on the

sidelines of EXPO Pakistan-2017 at Karachi, attended by

hundreds of businessmen from 18 African countries, all

African Ambassadors/ High Commissioners in Pakistan,

diplomats, government officials and over two hundred

Pakistani businessmen. Trade Forums were also arranged in

Karachi, Lahore, Peshawar and Islamabad, with the help of

the chamber commerce.

c. Negotiations on Bilateral/Multilateral Trade Agreements:

Trade Negotiation Committees have been formed/reactivated

56

with major African countries. Joint Working Groups

(JWGs)/JTC with Tunisia and Kenya have been established,

while Egypt has agreed to the establishment of a JWG

between the two countries. Bilateral Trade Agreements

(BTAs) are in process with Nigeria, Rwanda and Ethiopia.

Under these BTAs, JWGs will also be established.

Engagement with SACU, ECOWAS and EAC is being

initiated.

d. Enhanced Subsidy for Africa: TDAP provides special

subsidy (80-90%) to companies/delegations to encourage their

participation in exhibitions in Africa. After the launch of

―Look Africa Policy Initiative‖, 12 exhibitions in Egypt,

Morocco, South Africa, Nigeria, Kenya, Tanzania and

Ethiopia etc. and 1 delegation of Surgical, Pharma and Sports

Goods to Algeria and Tunisia have been sponsored by TDAP

under the policy.

e. Pakistan-Africa Trade Development Conference: The

event was held in Nairobi, Kenya, on 30-31 January, 2019,

with an aim to promote trade and to further strengthen

existing trade linkages with the African region.

TDAP has arranged 13 international trade delegations despite

lockdown and organized First Virtual International Textile Exhibition in

2020. Multiple Webinars have been arranged by the Commercial Section

at the High Commission in London to promote Roshan Digital Account

(RDA), and Naya Pakistan Certificate (NPC) in UK. Trade promotion

activities has been planned through usage of virtual platforms.

ix. EXPORT FINANCE SCHEMES TO INCENTIVES

EXPORTS:

State Bank of Pakistan (SBP) has been undertaking a wide range of

development finance activities besides, its core functions, to promote

export led growth in the country. For this purpose, SBP consistently

formulates and reviews its various short- and long-term refinance schemes

to facilitate banks in meeting credit needs of their borrowers primarily

exporters and export led industrialist. The SBP offers following financing

support schemes to the exporters:

57

a. Export Finance Scheme (EFS)

b. Islamic Export Refinance Scheme (IERS)

c. Long Term Financing Facility (LTFF) for Plant &

Machinery

d. Islamic Long-Term Financing Facility (ILTFF) for Plant

& Machinery

x. EXPORT FACILITATION SCHEMES:

The Government has taken steps to facilitate exporters and

increase competitiveness of country‘s exports in the international markets

by promoting ease of doing business and exempting duties and taxes on

imported inputs for manufacturing of exports under certain conditions. In

this regard the following schemes are offered by FBR:

a. The Export Oriented Units (EOU) Small and Medium

Enterprises Rules, 2008

b. Manufacturing Bond Rules - SRO 450(I)/2001

c. Duty and Tax Remission for Exports (DTRE) Scheme

d. Temporary Importation Scheme - SRO 492(I)/2009

e. Export Processing Zone (EPZ) Rules

f. Determination of Materials and Fixation of Rates

xi. SUBSIDIZED ENERGY FOR EXPORT ORIENTED

SECTORS:

In order to maintain the competitiveness of Pakistani exports, the

five export-oriented sectors textile, surgical goods, carpets, leather and

sports goods, are provided subsidized electricity at the rate of 7.5 cents (all

inclusive) per unit (kwh) and the mix of local and RLNG at a fixed rate of

$6.5 per million British thermal unit.




58

(a) the number of CPEC projects at the verge of completion in

the Punjab and Khyber Pakhtunkhwa; and

(b) the amount allocated so far and the time by which the said

projects will be completed?


(Mr. Asad Umar): Response is enclosed as Annex-I


122. *Dr. Mahreen Razzaq Bhutto:


(a) whether it is a fact that according to the latest monetary

policy statement, the State Bank of Pakistan has finally

acknowledged poor status of economy;

(b) if so, whether it is not against the Government’s earlier claim

that the economy is going upward; and it is also an evidence

of the failed economic policies of incumbent Government;

(c) whether it is a fact that weaknesses in the economy have put

more burden on the public, in particular on the poor peoples;

(d) if so, what steps are being taken by the Government to

address such weaknesses in the economy so that the lives of

ordinary citizens could be saved from inflation?

Minister for Finance and Revenue: (a)—It is not the fact.

According to the latest monetary policy statement (MPS), the State Bank

of Pakistan has acknowledged that the pace of the economic recovery has

exceeded expectations.

(b) — The MPS of the SBP reaffirms the government‘s claim that

the economy is going up.

— With government‘s timely and appropriate economic policies,

economy is moving on higher growth trajectory as evident by

the performance of key economic indicators;

59

— LSM (Jul-Aug FY22) by 7.26% (2.91% last year).

o Total Oil Sales (Jul-Oct FY2022) by 22.0 % to 7.8mn

tons (last year 6.4 mn tons).

o Total Car Production (Jul-Sep FY22) by 87.7% to

51750 (last year 27574).

— Exports (Jul-Oct FY22) by 24.7% to $ 9.4 bn ($ 7.6 bn last

year).

— Remittances (Jul-Sep FY22) by 12.5% to $ 8.0 bn ($ 7.1 bn

last year).

— FBR Tax Collection (Jul-Oct FY22) by 36.8% to

Rs. 1843bn (Rs. 1347 bn last year).

— PSDP authorization by 250% to Rs. 392.7 bn

(as on 03-09-2021), (Rs. 112.0 bn last year).

— CPI inflation (Jul-Oct FY22) recorded 8.7% (8.9% last year).

— Credit to Private Sector (1st Jul-22nd October 2021,) recorded

at Rs. 226.5 bn (Rs. -96.5 bn last year).

— Agriculture Credit Disbursement (Jul-Sep, FY22), by

14.7% to Rs. 291.9 bn (Rs. 254.6bn last year)

(c) — It is not a fact. There is a robust economic recovery that is

keeping the economic growth on upward trajectory. However,

there are challenges associated with rising international

commodity prices, and widening of trade deficit.

— Pakistan is a net importer of food items especially wheat,

sugar, pulses, crude and edible oil. Due to increase in global

commodity prices Pakistan has also been affected.

— However, due to prudent and pro poor measures taken by the

government of Pakistan, proportionate rise of the prices of

commodities i.e. sugar, wheat, edible oil, petrol and diesel

was not passed on the domestic consumers.

60

(d) – To further strengthen the economic growth and providing

relief to the common man, the Government has introduced a

comprehensive set of economic and relief measures as highlighted below:

I. To stimulate agriculture sector,

o National Agriculture Emergency Program of Rs. 277 bn

(13 mega projects are under execution)

o Rabi Package of Rs. 5.4 bn

o Minimum Support Price of wheat: Rs. 1,800 per 40 kg.

o Agriculture transformation plan

o Agriculture credit disbursement target Rs. 1,700 bn for

FY2022

II. To Support Industrialization and Export Promotion

o Special package for construction

o Tax exemptions for Electric vehicles manufacturers

o Industrial Support Package

o Relief Package for Small & Medium Industries

o The size of federal PSDP increased by 40 % from

Rs. 650 bn to Rs. 900 bn

o Taxes imposed on exporters have been rationalized and

incentives are given in value-added products

o Export of IT and IT enabled services have been brought

under the ambit of 100% tax credit

o New Export Facilitation Scheme 2021 has been launched

III. Government is making all possible measures to improve the

investment climate and to attract FDI in the country through

o Investment Promotion Strategy

o Ease of Doing Business Reforms

61

o Special Economic Zones

IV. Under Social protection program, the government has focused

on a bottom-up approach/Kamyab Pakistan Program (KPP)

instead of leaving vulnerable segments to the mercy of the

trickle-down effect.

V. To control inflationary pressures, various policy,

administrative and relief measures have been initiated.

o To ensure the smooth supply of essential food item and

to reduce the inflationary pressures, the government is

building strategic reserves of the essential items.

o In addition, government‘s agriculture facilitation

measures and encouraging performance of major and

minor crops will ease out the inflationary pressures as it

will further increase supply of food items in the market.

o A relief package of 120 bn announced to provide 30 %

discount on ghee, flour and pulses to 130 mn people for

the next six months.

All these measures indicate that the government is committed to

ensure that the growth momentum remains intact along with the price

stability and facilitation for the poor segments of the society.


Will the Minister for Privatization be pleased to state the names of

Institutes or Organizations which have been privatized or going to

be privatized?

Minister for Privatization (Mr. Muhammadmian Soomro): (a)

A list of the entities privatised since 1991 is at Annex-A.

(b) Currently there are twenty-one (21) Government entities on

the Active Privatisation List, including Sale of properties owned/

controlled by the Federal Government. The list of the same is placed at

Annex-B.


62



(a) what are the details of functionaries sent on a visit to Dubai

Expo by the Ministry or any other Federal Government

department organization alongwith official status of each of

the above person;

(b) the details of expenditure incurred upon visit of each person;

(c) what is the justification of tour of each person; and

(d) who did give permission for traveling abroad of the each of

above person?

Minister for Commerce: (a),(b)&(c) Expo 2020 is a world Expo

in which 192 countries are participating. It is scheduled to be held from

1st October, 2021 to 31st March, 2022. The theme of Expo 2020 is

―Connecting Minds, Creating the Future‖. Under this theme, there are sub-

themes of ―Opportunity, Mobility and Sustainability‖.The theme of

Pakistan Pavilion is ―Hidden Treasures‖. Expo authorities had requested

all participating countries to nominate a Responsible National Authority

(RNA) with whom they can coordinate on Expo-related matters. In this

regard, Trade Development Authority of Pakistan (TDAP) was nominated

as RNA for the management of Pakistan‘s participation in Expo-2020.

The Pakistan Pavilion spreads over an area of 3449.97 sqm. The

inner journey of the Pavilion has been divided into 8 spaces, each

depicting a unique aspect of Pakistan. Moreover, Federal/ Provincial

governmental organizations and private sector are organizing events in

light of the expo-thematic weeks and special, days of Pakistan in the

Pavilion. The details of the visits of officers to Dubai for Expo 2020 are as

under:

63

Date of visit Name, Designation

and Department

Total

Expenditure

(TA+DA)

approx.

Justification

30th September to

3rd October, 2021

Mr. Abdul Razak

Dawood, Adviser to

the Prime Minister

of Commerce and

Investment,

Ministry

of Commerce

Rs. 485,202

+Rs.209,816

=Rs. 695,018

To attend inauguration ceremony of

Expo 2020; review the preparedness

of Pakistan Pavilion and have .

meetings with Expo Authorities and

foreign dignitaries.

7th to 10th

October, 2021

Mr. Abdul Razak

Dawood, Adviser to

the Prime Minister

of Commerce and

Investment,

Ministry

of Commerce

Rs. 355,650

(No DA was

claimed as

Adviser was the

state guest)

To meet the Expo Authorities and

officials; look into necessary

arrangements for the events at

Pakistan Pavilion; and Accompany

the President of Pakistan during

inauguration of Pakistan Pavilion.

5th to 7th

October, 2021

Mr. Malik Amin

Aslam, Special

Assistant to the

Prime Minister on

Climate Change,

Ministry of Climate

Change.

Rs. 93,500

+ Rs.130,560

=Rs. 224,060

..

Invited as Guest Speaker on the event

namely, Conservation for Hope/

Advancing Best Practice in Wildlife

and Biodiversity Conservation, by the

Expo Authorities to share and

highlight the steps taken by Pakistan

in this regard.

7th to 10th

October, 2021

Mr. Sualeh Ahmad

Faruqui, Secretary,

Ministry of

Commerce

Rs. 276,000

+Rs .180,336

=Rs.456,336


officials; and look into necessary

arrangements for the inauguration of

Pakistan Pavilion by the President of

Pakistan.

7th to 10th

October, 2021

Mr. Arif Ahmed

Khan, Chief

Executive, Trade

Development

Authority of

Pakistan

Rs.276,000

+Rs.181,987

=Rs. 457,987


officials; conduct meetings regarding

installation of fixtures which depict

the inner journey of the 8 spaces in

Pakistan Pavilion; and ensure the

completion of the facade

enhancement project.

7th to 10th

October, 2021

Mr. Ahsan Ali

Mangi, Secretary,

Trade Development

Authority of

Pakistan

Rs. 127,222

+Rs. 133,420

=Rs. 260,642

To make arrangements for the visit of

the President of Pakistan; coordinate

with the firm responsible for the

maintenance of the Pakistan Pavilion;

and conduct meetings with the

Programming Committee on the

October calendar and initiation of the

November calendar.

7th to 10th

October, 2021

Ms. Fareena

Mazhar, Secretary,

Board of Investment

Rs. 153,913

+Rs. 315,762

=Rs. 469, 675

To attend the business forum

organized by Pakistan Business

Professional Council on 8th October,

2021; participate in the business

seminars on 9th October, 2021; and

meet executives of multi-national

companies.

64

2nd to 10th

Nonember, 2021

Ms. Fareena

Mazhar, Secretary,

Board of Investment

Rs. 174,000

+Rs. 188,507

=Rs. 362,507

To attend Investment Seminar on

Housing, Construction and

Communication Sector.

2nd October, to

10th October, 2021

Mr. Jamil Ahmed

Qureshi, Additional

Secretary, Board of

Investment

Rs. 172,854

+Rs. 350,311

=Rs. 523,165

To establish Investment Information

and Facilitation Desk at Pakistan

Pavilion; apprise the visiting investors

about the investment opportunities;

and make arrangements for

―Investment Seminar on Electric

Vehicle Policy and Investment

Opportunities in Automobile Sector‖

31st October,

2021to 3rd

November, 2021

Mr. Jamil Ahmed

Qureshi, Additional

Secretary, Board of

Investment

Rs. 213,141

+Rs. 175,412

=Rs. 388,553

To make arrangements for the

Investment Seminar on Housing,

Construction and Communication

Sector.

(d) The Prime Minister had approved the visits of the Adviser to

Prime Minister on Commerce and Investment, Special Assistant to the

Prime Minister on Climate Change and officers.

125. *Ms. Zille Huma:


(a) the names of items displayed by Pakistan in the exhibition of

Dubai Expo; and

(b) the procedure to display the items in such International Expo

alongwith the criterion adopted to participate in such Expo?

Minister for Commerce: (a) Expo 2020 is a world Expo in

which 192 countries are participating. It is scheduled to be held from 1st

October, 2021 to 31st March, 2022. The theme of Expo 2020 is

―Connecting Minds, Creating the Future‖. Under this theme, there are sub-

themes of ―Opportunity, Mobility and Sustainability‖. The theme of

Pakistan Pavilion is ―Hidden Treasures‖. The plot area of Pakistan

Pavilion is 3449.97 sqm.

Expo 2020 is a thematic exhibition, not a products/ goods

exhibition, so no items are allowed to be displayed there by the Expo

Authorities. The companies are only allowed to organize events for a few

hours in the Pakistan Pavilion. The Governmental Organizations (Federal

and Provincial) and private sector are participating in Expo thematic

weeks, Pakistan special events, Pak-Expo cultural events, Pakistan led

thematic initiatives, international participants lead events and regional/

65

provincial events. The brief information is as follows (details are placed at

Annex-I):

i. Expo Programming Thematic weeks

Pakistan has planned 26 events which revolve around 10

themes.

ii. Pakistan Special Events

Six events have been planned.

iii. Pak-Expo Cultural Participant Program

Three special events will be managed in main performance

areas and will feature in the Expo Programming Calendar.

iv. International Participants Lead Events

Proposals have been shared with countries to organize events

either in their pavilion or in Pakistan Pavilion.

v. Regional / Provincial Events

One month has been allotted to each province/region to

organize their events.

The calendar for the month of October and November are enclosed

at (Annex-II) & (Annex-III) for kind perusal.

(b) The Steering Committee on Expo 2020 was constituted in

2017 with the approval of the Prime Minister (Annex-IV). All concerned

Ministries and Provincial Departments were made part of this Committee.

The Steering Committee had approved the theme of Pakistan Pavilion and

sub-themes of its 8 spaces. Each of the eight spaces displays a unique

aspect of Pakistan. Brief information on spaces is as follows:

Space 1- The Dawn of Civilization

Pakistan‘s history, from the Neolithic period to the present, has

been graphically illustrated with hand painted miniatures above a

brass timeline.

Space 2 - Sheesh Mahal Pathway

The Sheesh Mahal, built by Emperor Shah Jahan for his beloved

wife Mumtaz Mahal, has been re-produced.

66

Space 3- Haven of Natural Wonders

A spiritual and awe-inspiring effect has been created through three

immersive films that showcase the majesty and scale of Pakistan‘s

landscapes and the diversity of its wildlife, flora and fauna.

Space 4 & 5 - Sacred Spaces

Pakistan‘s diverse spiritual traditions have co-existed peacefully.

The visitor will experience the essence of the faiths through films,

Naqaashi on walls and traditional Jaalis.

Space 6 & 7- Land of opportunity

A dynamic, innovative, futuristic and progressive has been

portrayed in this space.

Space 8 - Celebrating the Indus music & crafts

The vibrant craft traditions of Pakistan will be highlighted. The

screens depict crafts of clay, cloth, wood, metal and stone.


126. *Mr. James Iqbal:

Will the Minister for Commerce be pleased to state the steps being

taken by the Government to increase exports to Iran in the coming

financial year?

Minister for Commerce: (a) Pakistan & Iran Bilateral Trade

Overview:

• Bilateral Trade between Pakistan and Iran has remained

inconsistent during past ten years and shows a decline after

2013-14. Presently, Pakistan‘s imports from Iran was

recorded at US$ 513 million in 2020-21, as exports to Iran

from Pakistan are zero (Trade Data is placed at Annex-I).

(b). Major Reasons of Decline in Bilateral Trade:

• International sanctions on Iran and absence of‘ banking

channel is the major impediment adversely affecting bilateral

trade.

67

(c). Steps taken by the Government to Increase Exports to

Iran :

• 9th Session Pak-Iran Joint Trade Committee: In order to

discuss various trade issues between Pakistan and Iran

including bilateral trade, free trade agreement, possibility of

barter trade, removal of tariff/non-tariff barriers, banking

cooperation, establishment of border markets and other trade

related issues, 9th Session of Pakistan –Iran Joint Trade

Committee has been held on 6th - 7th Nov, 2021 in Tehran,

Iran. The two sides agreed to remove all impediments in

bilateral trade.

• Barter Trade Mechanism: Pakistan & Iran have finalized

and signed MoU on barter trade mechanism between the

private sectors of the two countries, led by Quetta Chamber of

Commerce & Industry and Zahedan Chamber of Commerce

& Industry on 7th November 2021 at Tehran. This will

benefit both sides.

• Establishment of Border Markets: Pakistan and Iran signed

Memorandum of Understanding (MoU) for establishment of

Border Sustenance Market Places at Tehran on 21st April

2021, at Tehran during the visit of the Foreign Minister to

Iran. Both sides agreed to establish Border Sustenance Market

Places at Chegdi, Mand, and Gabd. The first market will be at

Mand —Pishin and its construction has been started. It is for

the benefit of people of border areas.

• Cooperation in Trade Exhibition & Exchange of

Delegation: The Memorandum of Understanding (MoU) on

Mutual Cooperation between Trade Development Authority

of Pakistan (TDAP) and Iran International Exhibition

Company (IIEC) has been signed during 9th Session Pak-Iran

Joint Trade Committee on 7th Nov, 2021. The purpose of

MoU is to promote exchange of information, provision of

exhibition space on preferential rates, facilitate business

delegates, and encourage participation in exhibitions in each

other‘s countries.

• Reactivation of Joint Business Council: Pakistan and Iran

are working towards reactivation of Joint Business Council

68

between the private sector for increased interaction and

cooperation. The chambers also interacted on the sidelines of

the meeting.

• Pakistan Iran FTA: FTA negotiations are ongoing between

the two countries, four rounds have been held, but the

agreement can benefit once banking channel issue is resolved.

Annex-I

Trade in Goods

Bilateral trade between Pakistan and Iran remained at USD 513.61

million in 2020-21. The detail is given in Table below.

Bilateral Trade Trend between Pakistan and Iran (USD

Million)

Years Pak Exports

to Iran

Pak Imports

from Iran Total Trade Trade Balance

2013-14 52.67 172.49 225.16 -119.82

2014-15 29.32 239.37 268.68 -210.05

2015-16 38.25 205.85 244.10 -167.59

2016-17 26.68 284.58 311.26 -257.91

2017-18 22.86 369.23 392.08 -346.37

2018-19 12.44 415.21 427.65 -414.77

2019-20 0.01 437.49 437.50 -437.48

2020-21 0.00 513.61 513.61 -513.61

Source: FBR

127. *Mr. Abdul Qadir Patel:


(a) the export quota of Tuna fish at present;

(b) whether quota of Tuna fish has been increased or decreased

in the last three years; if yes, details thereof;

(c) the details of value and volume of export of Tuna Fish during

the last three years;

(d) what is the potential of the country to export Tuna Fish in a

year and what are the reasons for not achieving such

potential; and

69

(e) what efforts have been made by the Federal Government to

secure the Pakistan Tuna Fish Quota within our Exclusive

Economic Zone, and also at high sea from Indian Ocean Tuna

Commission by collaborating with all stakeholders?

Minister for Commerce: (a) There is no export quota of Tuna

Fish.

(b) -do-

(c) No fish by the name of Italian Fish exist.

(d) The potential is enormous but due to traditional fishing

(Fishing Gears), handling practices (Cold Chain), quality of fish and

illegal trade, country is not utilizing the maximum benefit out of it.

During fiscal year 2020-2021 only 23.53 tonnes of tuna was

exported to Sri Lanka and Taiwan.

(e) No Tuna Fish quota is in place from Indian Ocean Tuna

Commission for Exclusive Economic Zone and at high sea for member

countries including Pakistan. The consultation will be made with all

stakeholders as and when it is required.

128. *Ms. Zille Huma:

Will the Minister for Commerce be pleased to state whether the

edible items are imported from Afghanistan; if so, the details

thereof?

Minister for Commerce: According to Sr. No. 10 of Appendix-

B(I) of IPO, 2020 Edible items are importable from all over the world

except from India and Israel subject to the following conditions;

(i) It must be fit for human consumption;

(ii) They shall be free of any ‗haram‘ element or ingredients;

(iii) Edible products shall have at least 66% (2/3rd) shelf life,

remaining from the date of manufacturing;

70

(iii a) The ingredients and details of the product (e.g. nutritional

facts, usage instructions etc.) of food products are printed in

Urdu and English languages on the consumer packaging;

(iii b) The logo of the Halal certification body is printed on the

consumer packaging;

(iii c) The labeling under clauses (iii a) & (iii b) above shall not be

in the form of a sticker, overprinting, stamp or scratched

labeling;

(iii d) The shipment is accompanied by a ‗Halal certificate‘ issued

by a Halal Certification Body, accredited with an Accrediting

Body (AB) which is a member of International Halal

Accreditation Forum (IHAF) or Standard Metrology Institute

for Islamic Countries (SMIIC);

(iv) That, in case of meat, it was obtained from ‗halal animals‘

and slaughtered in accordance with the Islamic injunctions;

(v) Import of edible oil in bulk quantity shall be on landed weight

and quality basis.

Further, details of import of edible items from Afghanistan is

attached.

(Annexure has been placed in the National Assembly Library).

129. *Begum Tahira Bukhari:


(a) whether it is a fact that counterfeit currency notes are floating

in every city of Pakistan;

(b) if the answers to part (a) above is in affirmative, the reasons

thereof; and

(c) what steps are being taken by the Government to curb such

crimes to save the small shopkeepers?

71

Minister for Finance and Revenue: (a) The State Bank of

Pakistan receives counterfeit banknotes confiscated by the Law

Enforcement Agencies (LEAs), at any of the sixteen (16) field offices of

the SBP Banking Services Corporation across Pakistan, and surrendered

by the commercial banks with the SBP (data for FY 2020-21 is attached as

Annexure-A).

(b) The counterfeiting of the banknotes can be due to breach of

security features in the banknotes. However, the security features in

Pakistani bank notes are at par and comparable with other international

banknotes. A comparison of overt, level-1 security features of the

Pakistani banknotes, as compared to other countries is attached at

annexure-B. It may be added that the rate of per million counterfeit

banknotes (reported) in Pakistan is among the lowest in the world, as

shown in the table below:

Country Notes per million

Australia $ 10

India Rupee 5.5

Canada$ 8

Europe€ 17

Pakistan Rs. 4.3

Counterfeiting is a crime against state and punitive action against

the counterfeiters is the responsibility of the Law Enforcement Agencies

(LEAs).

(c) State Bank of Pakistan (SBP) has adopted a multi-tevel

strategy against currency counterfeiting:

Firstly, strengthening the security features of banknotes. The

objective of enhancement in the security features of higher denomination

banknotes is to remain at par with the developments in banknotes printing

technologies. Recently SBP has added following latest features to the

banknotes to tackle counterfeit:

- Enlarged Optical Variable Ink (OVI) flag

- Varnishing

- Advanced machine-readable feature

72

Secondly, to ensure issuance of genuine and authenticated

banknotes to public from the banking system, SBP introduced Currency

Management Strategy (CMS). The key objective of the CMS was to

reform the currency management function from manual to automated

environment, both at the SBP and the banking industry. Under this, SBP

BSC and commercial banks have installed following number of machines

to sort, authenticate and process good quality banknotes to public:

Machines SBP- Banks

BSC

Banknotes Processing

Machines

150 9,685

Thirdly, the SBP has made extensive efforts to create awareness

among the public about the security features of our banknotes by

developing videos and smartphone application (available for free

download at the SBP website) under a campaign namely “Rupay ko

Pehchano‖. Besides, SBP also conducts awareness campaigns through

SBP BSC field offices and National Financial Literacy Program (NFLP),

by holding seminars in chambers of commerce, trade bodies, market

committees, schools, colleges and universities on security features of its

banknotes.


ISLAMABAD: TAHIR HUSSAIN,

The 18th November 2021. Secretary.

PCPPI—4369(2021) NA—18-11-2021—500.

1

(38th Session)

NATIONAL ASSEMBLY SECRETARIAT

————

“UNSTARRED QUESTIONS AND THEIR REPLIES”

For Friday, the 19th November, 2021

44. Mr. Muhammad Aslam Khan:



(a) whether it is a fact that private banks have imposed the

condition of getting the maps approved from CDA for houses

in villages of Islamabad, under the “Mera Pakistan Mera

Ghar” Programme;

(b) if not, the action being taken against the banks making such

demand from the applicants;

(c) the number of banks against which action has been taken;

(d) the authority which will grant approval of maps of houses in

the above said areas for the purpose of getting loan; and

(e) the detail of policy of State Bank of Pakistan in this regard?

Transferred to Cabinet Division for answer on Next Rota Day.

45. Mr. Muhammad Aslam Khan:



(a) the number of gazetted officers of the Constitutional Bodies,

who have applied for loan under the “Mera Pakistan Mera

Ghar” Programme, in Allied Bank of Pakistan, Islamabad

2

Region alongwith the name of each officer, date of

application, required amount and the amount offered to them

by the bank;

(b) the number of officers, to whom loans have been given up till

now;

(c) the action being taken against the bank officers, due to the

negligence of such loan has not been given to certain officers;

and

(d) the time by which loan will be given to these officers?

Transferred to Cabinet Division for answer on Next Rota Day.

54. Moulana Abdul Akbar Chitrali:



(a) the names, qualification, pay and allowances of the Directors,

Members, Commissioners and Executive Directors of the

Security Exchange Commission of Pakistan (SECP); and

(b) the functions and performance and the action taken against

the companies and firms for violation of rules during the last

ten years alongwith year-wise break-up?

Minister for Finance and Revenue: (a) Currently, three

Commissioners including Chairman, ten Executive Directors and fourteen

Directors are working at the Securities and Exchange Commission of

Pakistan (SECP). Details attached as Annexure-I.

(b) SECP has taken 12,230 regulatory actions during last

ten years i.e. 2011-2021, year wise breakup is attached hereby as

Annexure-II.


3

55. Moulana Abdul Akbar Chitrali:



Initiatives be pleased to state the province-wise details of the

projects, executed in the Less Developed Areas as well as Districts

of Malakand Division as per directions provided under the

Constitution of Pakistan, during the last four years?

Reply not received.

58. Mr. Raza Rabani Khar:



(a) the seniority-wise list with three additional columns (i)

qualifications at time of appointment (ii) experience at time of

appointment (iii) designation at time of appointment of the

following;

(b) Deputationists, Chairman, Executive Directors, Trainees,

Contractuals, daily wagers, children of diseased and retired

employees, reinstated officers and staff, officers and staff

working in the State Life Insurance Corporation of Pakistan

as on 31-07-2021;

(c) Deputationists whose services were regularized in State Life

Insurance Corporation;

(d) Deputationists retired and have been granted pension by State

Life Insurance Corporation;

(e) Officers and staff who have been promoted during last five

years;

(f) Officers and staff who retired during the last five years;

(g) reinstated officers and staff who stand relieved from the

services in implementation of judgment dated 17-08-2021 of

the honorable Supreme Court of Pakistan;

4

(h) officers and staff who were reinstated in implementation of

the following (i) Sacked Employees (Reinstatement)

Presidential Ordinance No.II of 2009 (ii) Sacked Employees

(Reinstatement) Act No. XXII of 2010 (iii) Distinction(s)

between above g. i. and ii?

Reply not received.

59. Mr. Abdul Qadir Patel:



Initiatives be pleased to state the details of the Mega Projects

sanctioned and completed during the last four years period-wise

details thereof?

Reply not received.

30. Mr. James Iqbal:

Will the Minister for Commerce be pleased to state the steps taken

by Government for better access to markets of European Union

Countries during the last three years?

Minister for Commerce:

European Union’s „Special Incentive Arrangement for

Good Governance and Sustainable Development‟ (GSP

Plus) is a pivotal mechanism for improving economic

relations between Pakistan and EU, whereby Pakistan is given

zero rated tariff preference on almost 91% of tariff lines to the

EU market.

The EU GSP-Plus Scheme is linked with the implementation

of Pakistan’s obligations under the 27 UN Conventions on

human rights, Child rights, labour rights, good governance

and protection of environment. After every two years, a

review is carried out by the European Union to ensure the

commitment of the beneficiary countries to effectively

implement the 27 UN Conventions. So far, three successful

biennial reviews have been conducted in 2016, 2018 and

2020. The Third Biennial Review concluded in March 2020.

5

Currently the Fourth Biennial Review is ongoing and Pakistan

has submitted its response on the progress on implementation

of 27 UN conventions on 15th September 2021 .The visit of

EU Monitoring Mission expected early next year.

It may be mentioned here that Treaty Implementation Cell

has been set up by the Government of Pakistan to coordinate

with all stakeholders at Federal and Provincial levels. The

Attorney General of Pakistan is the Convener of Treaty

Implementation Cell with its Secretariat in Ministry of

Commerce.

The Treaty Implementation Cell held 24 meetings so far in

which the representatives of Ministries namely Interior, Law

& Justice, Human Rights, Overseas Pakistani & Human

Resource Development, Industries & Production, Foreign

Affairs, Climate Change, National Commission on Human

Rights, National Commission on Status of Women and

representatives of Provincial Treaty Implementation Cells

(Punjab, Sindh, Balochistan, KP, GB & AJK) participated. At

the TIC all stakeholders take part and share updates on the

recent developments and to review the process on the

implementation of 27 UN Convention under GSP Plus

Scheme .

Prime Minister of Pakistan also chaired several meetings on

EU GSP Plus on 6th May 2020, 3rd May 2021, 17th August

2021 and 26th August 2021 to review the progress on

implementation of 27 UN Conventions.

Secretary Commerce under took a visit of Brussels on

4-6 October 2021 to engage/ share the progress on the

implementation of 27 UN Conventions and held meetings

with the officials of the European Commissions and met with

the key members of the EU Parliament to undertake efforts

for the positive review of Pakistan and to ensure the

continuity of the market access under the GSP -Plus incentive.

On 2 to 4 November 2021 a four members delegation lead by

Mr. Nicola Procaccini , Member of the Committee on Civil

Liberties, Justice and Home Affairs visited Islamabad.

Ms. Heidi Hautala, Vice President of EU Parliament and

6

Rapporteur on GSP was among the members of the visiting

delegation. An Inter-Ministerial Meeting was arranged in the

Ministry of Commerce giving Ms. Heidi Hautala an

opportunity to engage with members of Treaty

Implementation Cell to update on progress on the key areas

under 27 UN Conventions i.e. Human Rights, Labour Rights,

Women Rights and Climate change.

On 3rd November 2021 the Advisor to PM on Commerce,

held detailed meeting with the visiting delegation. The

delegation also called on the Attorney General of Pakistan on

4th November 2021 where the updated status was shared on

the progress on various initiatives in the ambit of Pakistan’s

obligations under the 27 UN Conventions.

Moreover, Treaty Implementation Cell is actively pursuing

the legislations that are under submission to the Parliament

related to key areas of concern to the EU.

EU GSP Scheme is very important for Pakistan & it is the

collective responsibility of all segments including the federal

ministries, provincial governments and civil society to

contribute positively enabling Government of Pakistan to

maintain a positive engagement with the EU to ensure

continuity of the trade benefits.

31. Mr. Ali Gohar Khan:

Will the Minister In-charge of the Prime Minister’s Office be

pleased to state:

(a) whether it is a fact that in village Darwaza, Tehsil and

Distract Abbotabad, Local School teachers were found guilty

of stealing many Cheques of Rs.25000/- of earthquake 2005

victims; if so, the reasons thereof;

(b) the names and father names of the persons alleged to be

found involved in such embezzlement; and

(c) the time by which action will be taken by the Government

against the above said culprits alongwith the number of stolen

cheques that were caught on the spot alongwith the details

thereof?

7

Minister In-charge of the Prime Minister‟s Office: (a) (b) & (c)

Soon after the devastating Earthquake of 8th October, 2005, Federal Relief

Commission (FRC) was formed mandated to coordinate and monitor

entire relief effort and report directly to the Prime Minister. First tranche

of Housing Cash Grant subsidy amounting to Rs. 25,000/- was made in

2005 soon after the earthquake through District Administrations in all the

earthquake affected areas including Abbottabad. The funds were disbursed

to the then NWFP government directly. ERRA neither dealt with

disbursement of first tranche of Housing Cash Grant nor any record was

transferred to it. The case has been taken up with District Administration

through Provincial Earthquake Reconstruction & Rehabilitation Authority

(PERRA) for the requisite information and will be shared when received

from the concerned quarters.

ISLAMABAD: TAHIR HUSSAIN,

The 18th November, 2021. Secretary.

PCPPI—4369 (2021) NA—18-11-2021—500.

38th session - national assembly of pakistan

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