Pakistan: Traders’ body joins protest against tax hike, inflated electricity bills

The Pakistan City Traders Association joined a nationwide strike against inflated electricity bills, rising inflation, and the new tax regime known as the Tajir Dost Scheme, the Express Tribune reported.

According to the report, on Wednesday, several major businesses and markets in Pakistan, including those in Liaquatabad, Tariq Road Bazar, and others, remained closed.

Javed Balwani, Chairperson of Pakistan Apparel Forum, told the Express Tribune that the closure of wholesale markets and the scarcity of transportation have hindered industries from obtaining raw materials, negatively impacting dyeing and processing activities. Furthermore, half of the workforce in the site area was unable to reach their factories.

Johar Kandhari, President of the Korangi Association of Trade and Industry, noted that the strike had a significant effect on the supply chain for industries in Korangi. Similarly, Faisal Moeez Khan, President of the North Karachi Association of Trade and Industry, told The Express Tribune that production activities in the North Karachi industrial area were also disrupted due to the ongoing strike.

The report further stated that a few petrol pumps in the city’s suburbs were closed due to the strike. Rizwan Irfan, President of the Karachi Electronics Dealers Association, said that 95% of the city’s markets were closed. He emphasized that the Federal Board of Revenue (FBR) should eliminate burdensome and unjustified taxes. Irfan also called for the immediate cancellation of the Tajir Dost Scheme and the removal of 13 unnecessary taxes on electricity bills. He urged the government to prioritise economic improvements rather than creating obstacles for traders and exporters competing internationally.

Khawaja Jamal Sethi, head of the All Karachi Traders Alliance, stated that business activities have stalled due to increased taxes, rising inflation, and high utility bills. He added that the successful strike on Wednesday sent a clear message to the government, urging them to enter into negotiations to address these economic challenges.

It is important to note that the FBR Chairperson summoned Pakistani traders to a meeting after they announced their intention to observe a nationwide strike on August 28, the Express Tribune reported.