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HYDERABAD: High petroleum prices were not only increasing production costs but also disrupting the industrial supply chain, warned a trade and industry leader.
In a statement on Saturday, Adeel Siddiqui, a member of the executive committee of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) from Hyderabad, expressed concern over the government’s decision to increase the Petroleum Development Levy (PDL) at a time when global crude oil prices have plummeted to a four-month low.
He noted that world oil prices had fallen significantly from their post-war peak but consumers and industries had seen no tangible relief. He said the government had doubled the climate support levy on petrol and high-speed diesel from Rs2.50 to Rs5 per litre while maintaining a high PDL under the IMF programme.
He said consumers and industries should benefit from falling global crude oil prices but, unfortunately, the government was using them as a tool to increase taxes under the guise of climate support while the industrial sector bore the brunt. He said the cascading effect of petroleum levies had dealt a severe blow to Pakistan’s industrial competitiveness and export performance.
