ICCI calls for passing on benefit of reduced Oil price to people

ICCI calls for passing on benefit of reduced Oil price to people

Islamabad, July 01, 2019: The Islamabad Chamber of Commerce and Industry has called upon the government to immediately pass on the benefit of reduced oil price to the general public as the crude oil price in international market has tumbled down from $72 per barrel in April 2019 to around $66 per barrel by end of June 2019.

Ahmed Hassan Moughal President, Rafat Farid Senior Vice President and Iftikhar Anwar Sethi Vice President, Islamabad Chamber of Commerce and Industry said that despite reduction in oil price in international market, the government has announced to keep petroleum prices unchanged for July 2019, which was not a wise decision as it has deprived the people of the benefit, which was due to them.

Ahmed Hassan Moughal said that government has increased general sales tax on petrol and diesel from 13 percent to 17 percent that would further enhance the cost of doing business as petrol and diesel were key inputs for some sectors of economy including agriculture and industry. He said that whenever oil price in international market, government lost no time in passing on its burden to people, but when oil price reduced in international market, its benefit was not immediately passed on to people, which was unjustified.

ICCI President said that government has also hiked the prices of electricity and gas including around 31 percent increase in CNG price from 1st July 2019 that would push up the cost of doing business. He said that at the one hand government was talking of promoting ease of doing business, but at the other hand it was taking decisions that would creating more problems for business sector. He said that if government was sincere in reviving the economy, it must create conducive environment of trade and industry by reducing cost of doing business so that business activities could flourish smoothly that would pave way for quick revival of economy.