Islamabad, July 18, 2019: The fertilizer industry has asked the federal government for immediate settlement of GIDC.
The fertilizer industry, in order to prevent an adverse situation that could cause Government serious problems, has been providing its major contribution towards the employment and the national exchequer.
It fully supports the Government nonetheless anticipates that to receive a positive gesture from GOP regarding the Gas Infrastructure Development Cess (GIDC) settlement.
Last year the fertilizer industry contributed to the economic growth of the country and became the highest taxpayer as it paid Rs. 45 billion taxes which are virtually equal to the net profit the industry had earned.
The industry has passed on Rs. 527 Billion benefits to the farmers in terms of lower prices against a gas subsidy of Rs. 127 Billion for the last 9 years. Furthermore, the industry has been offering its extensive support in uplifting the massed through different social projects.
Understanding the Government’s current situation that it can’t bear the additional burden, the fertilizer industry has decided to give its maximum support to the government on the prevalent price issue. The rise in Feed Gas (62 percent) and in Fuel Gas (31 percent) prices which, as a result, influenced the fertilizer prices by Rs. 210 per bag.
On the other hand, the industry has decided not to pass on the full impact of gas prices on the fertilizer to reduce the burden of high prices from the farmers. As these factors play a significant role in the development of the economy.
Read More: State Bank designates domestic systemically important banks
The industry is optimistic regarding the GIDC settlement as it is significant and help in determining the relief to the industry.
This is only possible through GIDC settlement in order to circumvent the adverse effect on the agriculture sector.
However, the fertilizer industry has shown its full confidence in his leadership and hope the members of the cabinet will appreciate the contribution of the industry to the national economy and food security.
