LAHORE, June 14: The Federation of Pakistan Chambers of Commerce and Industry on Saturday demanded withdrawal of 35 per cent duty on LC cash margin, two per cent withholding tax on import of raw material, reduction in sales taxes and other duties to strengthen national economy.

Talking to APP, FPCCI President Tanvir Ahmad Sheikh said that duty on LC be reduced to 15 per cent with a gradual decrease to zero level. He demanded cut in duty on commercial importers to one per cent.

He said country was passing through crucial period and only such countries are surviving which enjoy stable and sustainable economy. He said FPCCI’s demands be given due consideration in the larger national interest.

Tanvir Sheikh criticised imposition of 10 per cent withholding tax on industrial consumption and lauded the low rate taxes for whitening of black and unaccounted economy.

He appreciated zero duty on import of energy-savers and suggested that import of their parts be also brought to zero level to encourage the component assembly in Pakistan.

Saarc Chamber of Commerce and Industry Vice President Iftikhar Ali Malik said that that the FPCCI chief had constituted a high level committee to study and examine the federal budget in detail and prepare a working paper.

He said that the government should offer an excellent package of incentives to attract more foreign investment, boost exports, restore confidence of foreign investors and fully ensure uninterrupted power supply to industry.

Mr Malik said a delegation of the FPCCI would call on the prime minister to apprise him of their views on the federal budget. —APP