PAKISTAN
A delegation of the Pakistan Chemical Manufacturers Association (PCMA) presented its concerns regarding the performance of the country’s chemical sector, underscoring the growing challenges confronting local manufacturers. The Chairman highlighted that rising energy costs, financing constraints, tariff rationalization measures, and regulatory inefficiencies have placed significant pressure on domestic producers.
The delegation noted that high electricity and gas tariffs, coupled with elevated borrowing costs, have eroded the sector’s competitiveness. They further pointed out that certain raw materials are being imported at low or zero duty without corresponding downstream export growth. According to PCMA representatives, this trend weakens domestic value addition and discourages local industry by favoring imports over indigenous manufacturing.
In response, the Federal Minister acknowledged the concerns raised by the delegation and assured them that the government is committed to strengthening local industry. He stated that the issues related to energy pricing and tariff anomalies would be reviewed in consultation with relevant ministries and regulators.
The Minister emphasized that the government’s broader economic reform agenda aims to promote industrial growth, enhance export competitiveness, and create a level playing field for domestic manufacturers. He also assured the delegation that efforts are underway to streamline regulatory processes and improve ease of doing business.
Reiterating the importance of the chemical sector in supporting downstream industries, the Minister welcomed continued dialogue with PCMA and stressed that sustainable industrial development requires close coordination between policymakers and industry stakeholders.
ER News Desk
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