FPCCI Discusses August 14 Celebrations and Infrastructure Development Cess in Key Meetings

Business Reporter

Karachi: The 7th meeting of the FPCCI Central Standing Committee on Public Relations was held at the ABA Aleem Room B2, Federation House, Karachi. The session, convened by Mr. Shujaat Ali Baig and Deputy Convenor Syed Turab Shah, focused on planning the upcoming August 14 Independence Day and Markaz-e-Haq Celebrations.

Attendees included prominent professionals from various sectors: Mudassir Alam (Director Marketing, Profit Magazine), Iram Fawad (Executive Secretary, Quaid-e-Azam House), Shahbaz Islam (Chief Marketing Officer, SSGC), Farha Javed (Convener, Women Empowerment Committee), Ali Pasnani (Deputy CEO, Union Microfinance Bank), Changez Hassan Khan (PRO, PIA), Kashif Rafi (Registrar, ILMA University), Sohail Ahmed Siddiqui, Zia ul Islam Zubairi (Director, Netshel Pakistan), Ali Asghar, and Hamid Mirza (Head of Corporate Communication, Silk Bank – Lahore). From Karachi, Ammar Muzaffar (Marketing, K-Electric) joined, while Ali Ibrahim (Head of Corporate Communication, Hashoo Group) participated from Islamabad.

Later, Acting President Mr. Zaki Ejaz and FPCCI Vice President Sindh Region Mr. Mohmin Khan held a follow-up meeting to finalize arrangements for the Independence Day and Markaz-e-Haq events. Both the Public Relations and Women Empowerment Committees will jointly organize these celebrations.

FPCCI President Seeks Relief from Raised Infrastructure Development Cess

In a separate but equally critical meeting, FPCCI President Mr. Atif Ikram Sheikh strongly opposed the recent increase in the Infrastructure Development Cess (IDC) in Sindh from 1.25% to as high as 1.85%. He emphasized the business community’s concerns over the financial burden, legal challenges, and lack of tangible infrastructure improvements, despite substantial cess collections.

During an interactive session held at FPCCI Head Office, Sindh Minister for Excise, Taxation, and Narcotics Mr. Mukesh Kumar Chawla offered a possible compromise: if businesses withdraw court cases against the IDC, the government would reduce the cess to 1.0% and freeze it for three years. He also expressed openness to removing cess on solar panel imports.

Mr. Saquib Fayyaz Magoon, Senior Vice President FPCCI, welcomed the dialogue and stressed the need for visible reforms, particularly the withdrawal of cess on solar-related products. He noted the FPCCI continues to collect feedback from trade bodies to push for the reversal of such counterproductive measures.

Export Sector Also Demands IDC Exemption Under EFS

Vice President and Regional Chairman Sindh FPCCI, Mr. Abdul Mohamin Khan, added that increased production costs due to IDC are directly affecting the competitiveness of export-oriented industries. He proposed that imports under the Export Facilitation Scheme (EFS) be exempted from IDC to ensure profitability and timely order fulfillment in global markets.

He emphasized that applying IDC to EFS-linked raw materials undermines the scheme’s purpose and makes little economic sense.