Industry reject hike in petroleum prices

KARACHI: The industrialists on Wednesday rejected the significant hike in petroleum prices and urged the Prime Minister to revert the decision in order to avoid high inflation.

The Korangi Association of Trade and Industry (Kati), in a statement blasted the government for the substantial increase in the petroleum products prices.

Kati Acting President Maheen Salman said that more than Rs12 increase in petroleum products prices by the government is unacceptable and unbearable.

The price of petrol in the history of the country has crossed the highest level reaching around Rs160/litre which is alarming for the economy, she added.

Maheen said that due to the policy of the government, the inflation for the lower income group had gone up to 21 per cent and the latest increase in the petroleum products will further increase the inflation severely affecting the middle class and upper-middle-class of society.

The inflation has broken the back of the low-income group, she said, adding that the government is doing nothing to provide relief to the poor people of the country.

The finance minister in the Assembly stated that the International Monetary Fund (IMF) has put the conditions to withdraw the subsidies provided to the people, Kati acting president said.

The government is increasing inflation on a daily basis but the means for the growth in revenues are not being created, she added.

Job opportunities are dwindling, industries are closing, flight of investment is at an all-time high, she said while appealing to the government to keep the inflation rate in line with the purchasing power of the people.

In another statement, North Karachi Association of trade and industry (Nkati) President Faisal Moiz Khan, while expressing concerns over the recent rise in petroleum prices, requested Prime Minister Imran Khan to take back the decision and reduce the prices in order to control the inflation and to reduce the cost of industrial production.

Khan said that the recent rise in petroleum prices would result in huge increase in industrial production cost and would have a very negative impact on local industries as well as export industries.

“Making it easier to do business and promote industrialisation is the vision of the Prime Minister. On the contrary, the government is taking steps to make business difficult and shut down industries, raising concerns among the business and industrial community,” he said.

Khan added that the government claims to provide facilities to industries to increase exports but in practice, problems are being created instead of facilities.