LAHORE, March 26: Corps Commander Lt-Gen Zarrar Azim said on Wednesday that the US policy to use force had not helped it in Iraq.

Speaking at a meeting at the Lahore Chamber of Commerce and Industry, the corps commander said the outcome of the Iraq war might be different from what was being expected as the conflict was prolonging and resistance was increasing.

He said the US had used force in Iraq, while it had not been able to gain full control in Afghanistan. He said the government in Kabul could not take decisions without giving credence to the power centres in nine provinces.

He said Pakistan was not on the US hit list because it had done nothing to invite its wrath. US attacks on Afghanistan and Iraq had, however, affected the investment climate in Pakistan. He said fallout of the Iraq war was expected next week.

The corps commander said shipping companies had, however, taken undue advantage of the war and increased the insurance charges despite the fact that no submarines were attacking the ships in the region.

He said the US could not target Pakistan because of its nuclear capability as it had been there for the past decade. He said India could not take even an inch of the country because the armed forces were always ready to repulse its offensive.

Answering questions raised by LCCI president Tawar Irfan, the corps commander said it had been decided that no unnecessary housing scheme would be allowed to come up in the area of the new airport. He said flight kitchen, cold storage and cargo terminal facilities were required at the new airport immediately. He said the airport would become more important than the Karachi airport with the starting of flights from Central Asia during the next 10 years.

He said the government was committed to maintain law and order and not to allow it to hamper the economic activity under any circumstances.

Referring to the demand in respect of the establishment of an export display centre at the new airport, he said a site for Expo Centre had been earmarked in the Johar Town scheme, and the Export Promotion Bureau had to develop it. Meanwhile, a permanent venue for display of export goods was being created at the Fortress Stadium where industrial exhibitions continued for the most part of the year.

Referring to the concern prevailing in the business community in respect of the tactics being adopted for the sales tax recovery, he said restructuring of the Central Board of Revenue was already in progress for finding easier ways of tax collection.

He said the government would now build small dams because Kalabagh dam had become a political issue. He promised to look into the demand for getting the Multan Road declared an industrial area for checking the mushroom growth of housing colonies in the vicinity of the industries.

He appreciated the LCCI decision to venture into the education sector after sponsoring welfare projects in health and other social sectors.