Economic Coordination Committee or ECC gave the free hand to cement industries as they will not interfere in cement price in Pakistan.
The cement price in Pakistan is now free from the intervention of ECC as they decided in the meeting. Now, the cement factories can set and raise prices on their own and can generate extra income worth billion.
The cement industry in Pakistan has been supported by the stance by Abdul Razzaq Dawood, Adviser to Prime Minister on Commerce. However, he said that companies are allowed to increase the cement price in Pakistan and ECC will not intervene in this regard.
In FY2018, the cement industry in Pakistan paid Rs 111.2 billion in taxes. However, the share of General Sales Tax (GST) was Rs 60 billion and the share of Federal Excise Duty (FED) was Rs50 billion.
Ministry of Industries and Production revealed that in spite of the higher taxes and huge production cost, cement prices were lower than Sri Lanka and India.