ECC approve Strategic Trade Policy Amendments

ISLAMABAD: The Economic Coordination Committee of the Cabinet has approved summaries by the Ministry of Commerce, Finance Division and Ministry of Textile and Industries and directed Ministry of Commerce to give a detailed presentation on the matter of rationalising of prices of locally manufactured cars.The ECC met here Tuesday with the Federal Minister for Finance and Economic Affairs, Dr. Abdul Hafeez Shaikh in the chair The Ministry of Commerce in its summary to the ECC had requested for approval of certain amendments as per the laid down procedure, as the Prime Minister had already granted approval of the same.In another summary the Finance Division’s External Finance Wing had sought approval of Equity Investment in Netherlands Remittances of $ 15 million. The External Finance Wing in its summary has stated that the intended investment will help to diversify the export base of Pakistan by exporting the value added products such as Halal Foods in international market for which Engro Corporation Limited has been allowed to remit an amount of $ 15 million for setting up a company in Netherlands named Engro Foods Limited.The Netherlands Government will purchase an established Branch of Halal Products. The accumulative export revenue is expected to be $ 109 million between 2011-2020 and dividend to the tune of $ 40 million. The approval was given after taking a commendation of the criteria for permission to allow investment abroad by resident Pakistan or firms.The ECC has also approved issuance of government’s guarantee of Rs.1.5 billion for Textile City Limited in Karachi near Port Qasim on the area of 1250 acres. It is a joint venture of Government of Pakistan and Prime Financial Institute. Land for Pakistan Textile City has been acquired from Port Qasim Authority. Once completed the Pakistan Textile City Limited will offer various facilities for value added textile sector including capital power plant, dedicated water pipeline, provision of natural gas, base water plant, workers residential complex and training institute etc. The Government of Pakistan has contributed Rs.500 million and Pakistan Textile City had spent the initial paid up capital on the acquisition of land and its development.The ECC has sought a detailed presentation on determination of the data on Completely Knocked Down (CKD) kits for new entrants such as Components, parts and CKD kits not manufactured locally at 50% of the existing rate of 32.5% ad-val customs duty and     Components, Parts and CKD kits manufactured locally at 50% of the prevailing rate of 50% ad-val customs duty – Onlinenews