Duty-free import of cement to continue in Pakistan
'Pakistan Times' Special Correspondent

ISLAMABAD: The Economic Coordination Committee (CEC) of the cabinet has in principle given approval to standardized security documents under the policy for power generation projects.

The ECC, which met in Islamabad under the chairmanship of Prime Minister Shaukat Aziz, also reviewed the situation of cement prices in the country and emphasized that there was no justification for raising prices by the cement factories as there was no rise in prices of cement inputs so that ECC decided to continue duty-free import of cement till the stabilization of its prices at around Rs 280 per bag.

There was no rise in cement prices in the international market and there was also no increase in the domestic demand for cement, which could cause increase in cement prices.

The ECC resolved that the steps taken by the government in April last to bring down the prices of cement would continue till the prices are brought to the level of February 2006.

The ECC meeting noted that the April 14 decision of ECC to allow duty-free import of cement has helped curtail the price of cement from around Rs 400 per bag to an average of Rs 300 per bag at present.

Briefing newsmen after the meeting, Advisor to Ministry of Finance, Dr. Ashfaq Hasan said, owing to ECC’s earlier decision the prices of cement have come down to an average of Rs 300 per bag, with Rs. 295 to Rs. 305 in Rawalpindi, Rs. 290 to Rs. 305 in Islamabad, Rs. 275 to Rs. 290 in Peshawar, Rs. 280 to Rs 285 in Lahore and Rs. 290 to Rs. 325 in Karachi.

The ECC also reiterated that the steep increase in cement prices was unjustified, as there was neither any hike in the prices of inputs, used in manufacturing of cement, nor any escalation in prices of the commodity in the international market.

Dr. Ashfaq said, the ECC discussed in detail and approved in principle the Standardized Security Document under the policy for Power Generation Projects, 2002.

The ECC also reviewed the status of wheat procurement and noted with appreciation that Sindh has procured 700,000 tons of wheat, with 100% achievement of its target. The ECC appreciated the measures taken by Sindh government for procurement.

The ECC also noted with satisfaction the pace of wheat procurement in Punjab, which is still continuing to realize the target of 3 million tons. Overall, he said, the government has so far achieved 80% of the total wheat procurement target.●