It has been stated recently that the general sales tax rate now is a uniform rate of 15 per cent across the board for all sectors of economy. Then why have steel melters been given a simplified fixed sales tax (value-added sales tax) of only Rs300 per ton on steel ingots / CC billets as against fully documented re-rollers having to pay Rs4,238 per ton on billets purchased from Pakistan Steel?
It is an established fact that there is sales tax evasion of billions of rupees in the melting industry. Special procedure for payment of steel melters and re-rollers discriminates non-manual re-rollers buying billets from the Pakistan Steel. This is a clear-cut death sentence to the documented and organized sector.
It would help re-rollers if they are also allowed to pay fixed value-added sales tax of Rs300 per ton to Pakistan Steel, as is being done for melters, because the products (billets, CC billets & ingots) of Pakistan Steel and melters are identical and use the same process.
The market price for steel bars is always inclusive of sales tax. Hence the present scenario is as follows: (A) Re-rolling mills using Pakistan Steel's billets.
Sales tax on billets Rs4,237
Sales tax on bars Rs 719
Total ST paid Rs4,956
(B) Re-rolling mills using melters ingots / billets
Sales tax on Ingots Rs300
Sales tax on bars Rs200
Total ST paid Rs500
How can documented industries based on Pakistan Steel's billets survive in the above scenario when the tax discrimination is in excess of Rs4,500 per ton. Two systems of sales tax cannot work within the steel sector.
There should be a uniform sales tax system in the industry. We request that notice of this anomaly be taken and corrective action be taken immediately.
ABBAS AKBERALI
Karachi
Pakistani hostage in Iraq
When a Korean was taken hostage in Iraq, millions of Koreans came out to hold candlelight vigils for him and pray for him. The Korean president and other politicians and leaders came out to talk about the hostage.
But here in Pakistan the president, the Pakistan Muslim League (PML) and the mullahs of the MMA are too busy making changes in parliament and holding 'peace marches', respectively.
The Muttahida Majlis-i-Amal can go on and on about our education system and Pakistan's ideology, but it can't help or talk about a Muslim brother in need. The Pakistani people are no different. Our society has become so used to violence and killing that nobody cares about the innocent Pakistani. I pray for the safe return of our Pakistani brother.
FAWWAD SHAFI
Karachi
(2)
A pakistani has been taken hostage in Iraq by Al Qaeda group. Why are the Pakistan government, the opposition, the electronic media, the press and non-governmental organizations sleeping over such a top priority matter? If our government admires the US way of conducting national matters, why doesn't our president follow the US way to protect citizens?
The Pakistani hostage had to go to Iraq and risk his life simply because our government does not care to provide jobs to the youths and they have to go to other countries to earn a livelihood for themselves and their families. There lies now a helpless man for whom no one cares in this country, not so much as even to listen to him. So this is what it means to be a Pakistani citizen.
QUDSIA KAMAL
Karachi
Educating the masses
The government has never been serious about increasing the range and scope of education. As a result, illiterate people become unwilling instruments of foreign-sponsored terrorism. We must remember that no nation can survive illiteracy.
It is pathetic to know that there is no reading culture in Pakistan. As time passes, this is diminishing since more people are now either glued to watching movies on cable TV or surfing on the Internet.
The indirect adverse impact of illiteracy on the social and economic growth and development in our country is far reaching. Free primary schools do exist, but they are increasingly being converted into "model" schools with fees and uniforms being prescribed.
Children of low-income families cannot afford the expenditure and are forced to beg on the streets or resort to criminal activities. Even after 56 years of independence Pakistan has failed to provide universal, free and compulsory education to its children.
It must be mentioned that these children are not only the essential part of the country's national wealth but also an integral part. If they remain illiterate, then what good can be expected? Illiteracy and poverty are two sides of the same coin.
If we wish to get rid of poverty, we must first get rid of illiteracy. We must establish confidence among the masses, and the rest will fall in place. This is only possible if we give them their best shot at getting quality education.
MOEZ ALLIDINA
Karachi
Shaukat Aziz as prime minister
The nomination of Mr Shaukat Aziz as future prime minister is excellent. He has to his credit many achievements; putting the economy on the path of progress is one of them.
But his nomination has come under criticism. He has been dubbed America's choice. It's time we called a spade a spade. When Mr Shaukat Aziz became federal finance minister in 1999, Pakistan needed a finance minister who was both internationally acceptable and credible.
We needed him to attract foreign investment and foreign aid and to re-schedule the heavy external debt. We have in him a finance minister who has all these qualifications and has performed well so far.
Mr Shaukat Aziz has helped build a foreign exchange reserve of over $11 billion and improved the balance of payments to the extent of $4 billion. He has persuaded overseas Pakistanis to send home $4 billion as home remittances.
The finance minister has also resolved not to ask for further IMF assistance with its very rigid conditions. He has maintained the policy of breaking the beggar's bowl and making the nation self-reliant. IPOs have generated further revenue of Rs42 billion, and there are more projects in the pipeline.
REMEMBER: it is only through economic revival that we can stand with our heads high and have prosperity and development.
AZAM SULTAN AHMED
Karachi
Khairpur cement project
This is with reference to Mr Ayaz Amir's article "Paradise threatened" (June 25). I hold Mr Ayaz Amir in the highest esteem and genuinely consider him as one of our finest journalists, but I must confess that I was very disappointed to read the article under reference because it was not based on facts.
I appreciate his concern about environment, but his fears are unfounded because D. G. Khan Cement is itself conscious of the fact that we have to do our utmost to protect the environment, while contributing to the country's economic and industrial development.
We wish to assure all concerned that the plant, machinery and other equipment purchased from F. L. Smidth, Denmark, comprises state-of-the-art technology for control of emissions.
It meets the European environmental standards during the construction and operation phases. I would like to reproduce the environment- related clauses of our contract:
ENVIRONMENT CONSIDERATIONS: "The equipment to be supplied for D. G. Khan Cement Co. Ltd. for the new 6700-tpd cement plant at Khairpur comprises state-of-the-art technology for the control of emissions and hence the protection of the environment".
NO2 EMISSION: "The combination of the Duoflex main burner and the FLS firing equipment in the calciner is among the most effective - if not the best system with regard to minimizing NO2 emission".
DUST EMISSION: "The ESP's for the kiln/raw mill and the clinker cooler are designed on the basis of experience from several hundreds of similar installations, and the effective and reliable performance is ensured by a number of features."
It would be pertinent to note at this point that our existing cement plant at D. G. Khan is the only cement plant in Pakistan that is ISO 14000-certified for environment standards.
If Mr Amir were to visit this plant, for which I extend him an open invitation, he would observe a neat and clean, dust-free operation with lined trees, playgrounds, swimming pools, etc.
For the community welfare of the whole area we have two higher secondary schools (Urdu and English medium), a hospital, drinking water and a host of other facilities for the local population of the area.
For the satisfaction of the public, in general, and Mr Amir, in particular, the management wishes to assure all concerned that the same standards will be maintained at the Khairpur facility.
Nishat Group believes in sustainable development and all the industries owned by the group follow this policy. Contrary to Mr Amir's assertion, D. G. Khan Cement Company purchased the land from three sources:
1. Royal Cement Company Limited which purchased land at the same site back in February, 1995, to set up a cement plant and were granted leases by the provincial government for the extraction of raw material. This project was later abandoned because of a crisis in the cement industry.
2. Directly from the landowners of the area.
3. Land through the provincial government of Punjab under the Land Acquisition Act.
All the land acquired by D. G. Khan Cement for the Khairpur project in this barani area was at a fair market price and to the satisfaction of the landowners.
It may be worth mentioning that the area surrounding the proposed site is mostly barren and people earn their livelihood by cultivation of crops on small pieces of land, subject to availability of water.
There is no other source of employment. The proposed plant will open up new opportunities for the local people. About 800 people will be engaged directly and employment would be provided to thousands of people indirectly.
All this, whilst protecting the environment and natural beauty of the area is indeed what sustainable development is all about. The present government has announced a number of new projects - infrastructure projects, dams, canals, housing, ports, and motorways.
All these projects require cement. Add to this the cement demand emanating from reconstruction of Afghanistan, and we feel that there is going to be a huge shortage of cement in the country. Adding capacity is the need of the hour.
I want to assure Mr Amir that the people who are investing in this country, adding to economic progress and creating employment, are all Pakistanis. To us Pakistan's well-being is above all considerations.
FARID FAZAL
Director, Marketing & Sales, D. G. Khan Cement Company Ltd, Lahore
Change in parliament
The manner in which Mir Zafarullah Khan Jamali's ouster from the office took place, accompanied by the nomination of an interim chief executive and a promise for a future prime minister, says all about the premises on which the establishment operates. It seems that national priorities are all mixed up and conveniently ignored.
Pakistan has become a laughing stock of the world community and the whimsical style of our rulers has no parallells in the present-day world. It is a known fact that Pakistan has the lowest literacy rate, the poorest health facilities and a weak industrial base.
On top of it, there is no realization of the fact that the country's security and sovereignty are seriously threatened by these weaknesses. The establishment must understand that without a viable and strong societal base, their own power rests on weak foundations.
PROFESSOR (DR) S. FAROOQ HASNAT
Columbia, Maryland, US
Faith column in passports
I request President Pervez Musharraf and Prime Minister Chaudhry Shujaat Hussain to remove the 'religion' section from all Pakistani passports. Faith is between a human being and God.
The government should not document people's faith because documenting people's faith only leads to discrimination and harassment which the religious minorities in Pakistan face every day.
I also request the president and the prime minister to abolish the quota system. Allah has created all human beings equal. This is stated so in the Holy Quran. Then, why this discrimination? Every Pakistani should have equal rights to employment.
NOOMAN NAQVI
Lake Bluff, Illinois, USA
Foreign militants
"Foreign militant killed, his wife and three children wounded in South Waziristan" (June 16). Before we actually believe that the deceased was a militant combatant, some queries need to be addressed: Had the militant left his land to fight the US occupation of Afghanistan? If so, then why should he have brought his wife and three small children with him? Or was he among those who had come to fight the USSR and after escaping death married and peacefully settled in Fata along with his family?
Z. A. KAZMI
Karachi
Thatta phone exchange
With reference to Dr Mumtaz Ahmed Uqaili's letter "Better phone service" (June 13), a PTCL investigation shows that the Thatta telephone exchange is working satisfactorily, with its staff providing good facilities to the users, contrary to the complaint made in the in the letter.
As regards new connections, these are being provided regularly wherever technically possible on receipt of applications.
ATHER JAVED SUFI
Media Coordinator, PTCL Headquarters, Karachi
Urdu and Persian
I was rather intrigued by Mr Hafizur Rahman's comment "Education blues" (June 30). He says: "It is inconceivable to develop Urdu without classical Persian or even to practise Urdu literature."
Really, why is Urdu not a fully developed language? It is a shame that the national language of Pakistan cannot stand on its own legs. I think Urdu would thrive without the crutch of Persian.
Why not let Urdu be its own self rather than a pale imitation of Persian? Such voluntary colonization of one's own culture baffles me.
D. DAMERLA
Mississauga, Canada
Jamaat chief's response
Mr A.G.M. Gheewala in his letter of June 24 has reminded the Jamaat-i-Islami of its activities in the former East Pakistan of waging jihad by forming organizations such as Al Badr and Al Shams to fight their own brethren, which resulted in the loss of half of the country.
The Jamaat's pronouncements about protecting our geographical and ideological boundaries have resulted in dismemberment of Pakistan and also in the present state of affairs.
NAEEM AHMAD KHAN
Karachi
Valet parking
Recently a new phenomenon of forced valet parking is being practised by four- and five-star hotels in Karachi. Half of the hotel car parks are blocked for this almost compulsory levy of Rs50 per car from visitors.
The car parks are either too small or reserved for some function or construction/ repair work. This money extortion on the pretext of car parking is also witnessed on different roads in Karachi by some mafias.
Valet parking is a matter of choice, extended as a facility to visitors. It should not be forced on anyone.
PROF. S. TIPU SULTAN
Karachi
Pensioners
The government has granted an increase of 15 per cent to the pensioners who retired before 1994. But pensioners who retired after that have been granted only an eight per cent increase. I request the finance minister that a 15 per cent increase should be allowed to all pensioners.