ISLAMABAD, May 1: The government has constituted a three- member ministerial committee to hold dialogue with chemists and druggists on the issue of 15 per cent general sales tax (GST) imposed on medicines in March.

The committee comprising Finance Minister Shaukat Aziz, Health Minister Dr Abdul Malik Kasi and Commerce Minister Abdul Razak Dawood will meet a delegation of All Pakistan Chemists and Druggist Association within a week’s time.

The chairman, Chemist Association of Punjab, and president, Markazi Anjuman-i-Tajaran, Rawalpindi, Mohammad Hanif Abbasi told this reporter that a chemist council had also been formed which would represent the association at the meeting.

The council will comprise Haji Mohammad Hanif Billo and Mohammad Afzal from Karachi, Nadeem Shami and Mian Abdul Rashid from Lahore, Abdul Hadi Khan and Mohammad Iqbal Khan from Peshawar, Mohammad Hanif Abbasi, Arshad Mahmood Awan and Mohammad Arif Sheikh from Rawalpindi and Raja Sadaqat from Islamabad.

The association had earlier given a strike call for April 25, but later withdrew the decision at eleventh hour after it was assured by the government that its demands would be given due consideration.

“We have demonstrated great patience and now the ball is in government’s court,” Mr Abbasi said adding “we hope that our gesture will be reciprocated in the same manner.”

He said that during the April 25 meeting, the finance minister had assured the association that the government would patiently hear the demands of the chemists after the referendum.

He further said: “The council commands complete confidence of the association and any decision made on the part of the council would be final.”

Instead of levying more taxes, he said, the government should check transfer of pricing mechanism, through which the multinational pharmaceutical companies were earning billions of rupees.

Mr Abbasi alleged that the entire exercise of levying 15 per cent general sales tax was in fact a conspiracy to discourage the local pharmaceutical industry.