KARACHI, Aug 12: The Central Board of Revenue will soon constitute a committee of experts to prepare a long-term plan for country's edible oil sector. This was stated by CBR chairman Abdullah Yousuf while speaking at a seminar on “value addition in palm oil” organised by the Pakistan Edible Oil Refining Association (PEORA) here on Saturday.

He was responding to the association’s demand for a duty and tax relief to importers of edible oil for refining in Pakistan.

He said this sector had several stakeholders, including ghee mills, refineries, oil chemical, soap manufacturers and farmers producing oilseeds. “We need a committee that should look at this sector in a broader perspective and come out with an independent view and suggest measures for streamlining this sector,” he noted.

The CBR chief said the edible oil sector was facing higher level of taxation and this needed to be changed. “We are open to suggestions and ready for change and we will do whatever in the best interest of the country as well as the industry.”

He said instead of ad hocism, it was necessary to have a forward looking plan and a long-term vision for the betterment of the edible oil sector.

Mr Yousuf said the government also wanted to reduce an annual revenue drain of $1 billion on import of edible oil. “This also involves health issue as higher intake of edible oil is not a good sign for a good health,” he observed.

Earlier, PEORA vice-chairman Rasheed Jan Mohammad said Pakistan was consuming 2.5 million tons of edible oil per annum. The country was importing 1.6 million tons of palm oil from Malaysia and Indonesia and 0.4 million tons of oilseeds from different sources at $1bn per annum.

He said Pakistan was producing 0.5 million tons of oilseeds mostly cotton oilseeds and added that six local refineries were saving $45 million for the national exchequer.—APP