The minister addressed letters to the chief ministers of Khyber Pakhtunkhwa, Sindh, and Punjab outlining how infrastructure affects the nation’s ability to compete internationally for its goods. Only a copy of a letter written to KP Chief Minister Ali Amin Gandapur has been made public by the commerce ministry.
To examine the detrimental effects of infrastructure cess on their competitiveness, representatives from a number of chambers of business and trade associations representing export-oriented sectors have been in touch with Mr. Kamal.
The cess was imposed by the provincial governments in an effort to broaden the tax base and boost provincial revenues. The ministry of commerce does, however, think that the cess has an effect on export competitiveness in the global market.
According to the ministry of trade, eliminating this tax will benefit domestic producers as well as exporters by providing a good signal.
