April 21, 2006	Friday	Rabi-ul-Awwal 22, 1427

ISLAMABAD, April 20: The steel industry has unanimously recommended fixed sales tax on scrap, billet and bars at import stage instead of the current variable system.

According to a press release, this was proposed at a meeting of the Tariff Realisation Committee for the steel sector held here on Thursday under the chairmanship of Imtiaz A. Rastgar, vice-chairman and CEO of the Engineering Development Board.

The rates recommended are Rs1,500, Rs3,000 and Rs4,500 per ton. Later at the production stage, the same will be Rs350 for billet and Rs250 for bars without any inputs relief.

In order to arrest the price variation in the international market, the industry has suggested a monthly review system for adjustment in these rates.

The industry has also recommended continuation of the present tariff on steel for the next budget.

The committee will meet again on May 5 for the finalisation of its recommendations to be passed on to the CBR for incorporation in the budget 2006-07.

Mr Rastgar welcomed the unity of the industry and said that it would link Pakistan to international steel market and benefit main user contractors in quoting rates for mega construction projects.

The meeting was attended by 24 representatives of steel manufacturers, Pakistan Steel Rolling Mills Association Lahore and Karachi chapters, Pakistan Steel, ministry of industries, Pakistan Ship-breaking Association, Pakistan Steel Manufacturers Association, Pakistan Contractors Association and CBR.