Increasing gas prices will affect public, production and exports

Islamabad, June 04, 2023 (PPI-OT): Former Vice President of FPCCI Atif Ikram Sheikh said on Sunday that a fifty percent increase in gas prices will affect the masses, production, and exports. The decision will increase poverty in the country, which is already facing unprecedented price hikes taking a toll on the masses, he said.

Atif Ikram Sheikh who has also served as President ICCI and Chairman PVMA said in a statement issued here today that an upward revision in the gas tariff will burden the people with hundreds of billions of rupees, therefore the decision should be withdrawn. The decision will help state-run gas companies get additional funds of 226 billion rupees amid mounting losses.

OGRA's decision will provide SNGPL with additional funds of about Rs121 billion during the next financial year. SSGCL will get additional funds of Rs105 billion, which is not justified. He said that domestic production is continuously falling, the production of major industries has decreased to an alarming level, and exports have been continuously dwindling for nine months.

In the month of May, exports dropped by seventeen percent, and this decision will make the production process more expensive, which will further reduce exports, he warned. In the first eleven months of the year, exports have decreased to 25.36 billion dollars, compared to 28.87 billion dollars during the eleven months of last year.

He said that due to restrictions on imports, the economy is affected and businesses are closed, but the trade deficit has decreased from 43.40 billion dollars to 25.79 billion dollars. In 2022, Pakistan's exports were 32.5 billion dollars, while India's exports were 680 billion dollars. Pakistan's per capita export earnings were 140 dollars, while India's per capita export earnings were 483 dollars, he informed.

For more information, contact:

Atif Ikram Sheikh

Ex. Chairman PVMA, Former VP, FPCCI,

Former President ICCI, Former President HCCI,

Tel: +92-51-4437597, 4440772

Fax: +92-51-4440773