ISLAMABAD-The Economic Coordination Committee (ECC) of the Cabinet on Monday deferred approval to set support price of wheat crop 2022-23 and approved subsidised electricity tariff for the five exports oriented sectors.
The ECC meeting, which was chaired by Federal Minister for Finance and Revenue Senator Mohammad Ishaq Dar, has deferred summary of Ministry of National Food Security & Research on profitable support price of wheat crop 2022-23. Ministry of National Food Security & research presented a summary to consider proposals to use Gwadar port and revision of procedure for pre-shipment inspection agency for import of wheat. The ECC was informed that the reasons for higher price in limited bids received, in tender dated 26th September, 2022, was increased risks due to change in inspection regime and port.
In view of the higher cost on import of wheat associated with the two proposals, ECC approved the proposal that both amendments to TCP tender inspection may be dropped for the time being. However, pre-shipment inspection should be ensured at the loading port from the top four inspection firms by TCP/Ministry of Commerce. TCP was also directed to issue fresh tenders to ensure import of allocated quantity of wheat. On another summary from Ministry of Commerce, in order to keep export oriented sectors internationally competitive and sustain exports in backdrop of economic slowdown, the ECC approved continuation of regionally competitive electricity tariff for export oriented sectors during CFY 2022-23 and decided that electricity may be provided at Rs. 19.99 per kWh all inclusive to five export oriented sectors namely textile including jute, leather, surgical and sports goods across Pakistan from 1st Oct, 2022 to 30th June 2023.
In last week, the federal government had agreed with the textile sector associations to fix the electricity rate at subsidised Rs19.99 per unit for the five exports oriented sectors of the country, which would cost Rs90 to Rs100 billion to the national kitty. Finance Minister Ishaq Dar, after holding meeting with textile sector associations, has announced the subsidised rate of electricity for the five exports oriented sectors of the country. He said that the government would bear the difference between the new fixed price and the actual per unit production cost. Earlier, the All Pakistan Textile Mills As¬sociation (APTMA) had decided to shut down textile mills across the country after the federal government withdrew competitive power rates for textile industry.
Further, the ECC also approved supplementary grant of Rs. 410.181 million in favour of Ministry of Interior for expenses relating to law and order. Federal Minister for National Food Security & Research Chaudhary Tariq Bashir Cheema, Federal Minister for Commerce Syed Naveed Qamar, Federal Minister for Industries and Production Makhdoom Syed Murtaza Mehmood, Minister of State for Finance and Revenue Dr. Aisha Ghous Pasha, Federal Secretaries and senior officers attended the meeting.