14 February 2004	Saturday	22 Zilhaj 1424

ISLAMABAD, Feb 13: The Economic Coordination Committee (ECC) of the cabinet meets here on February 17 to take up a 17-item agenda, among which is a proposal to subsidise the export of, or the donation of, around 0.5 million tons of surplus potatoes to the Bam earthquake victims in Iran.

To be presided over by finance minister Shaukat Aziz, the meeting would consider these two options to dispose off 0.5 million tons of surplus potatoes, informed sources told Dawn on Friday.

The ministry of food and agriculture has proposed to provide 25 per cent freight subsidy on potato exports. Pakistan's own potato consumption is around 1.4 million tons and the current year's crop is about 1.9 million tons.

Another proposal being mooted asks the government to purchase the surplus potatoes from the farmers and donate it to Iran for the Bam earthquake victims as a goodwill gesture.

The ECC would also discuss an update on the Gwadar Port and future plans besides the relocation of two second-hand factories from Germany and Mexico supplied to Pakistan.

The sources said Phillips wanted to relocate its computers monitor manufacturing from Mexico while another Germany based company wanted to relocate its concrete batching factory to Taxila to take advantage of the growing construction industry in the country.

The ECC would also discuss the participation of Pakistani companies in the World Expo in Japan in 2005 besides removal of a negative list under the Afghan Transit Trade Agreement (ATTA) to facilitate Afghanistan's trade with the world.

The meeting would also review economic data for the month of January with special reference to rising trends in the inflation rate. The meeting is also expected to approve restructuring of around Rs13 billion loans of Pakistan Steel Mills from the banking sector on government guarantees.

Under the restructuring plan, Rs7.7 billion would be paid to the commercial banks as mark-up in seven equal instalments with effect from 2013 on the prevailing interest rates. The committee is also expected to waive a Rs145 million import duty payable by Fauji Fertiliser Company.