KARACHI, Jan 26: Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) has urged the Central Board of Revenue (CBR) not to allow import of used parts as this action will hurt the local industry.

The concept of old parts/assemblies is something which none of the western world acknowledges. Their tariffs or import policies may be lenient towards these but safety and environmental standards completely block this junk usage.

PAAPAM Chairman Mehdi Ali Rizvi in a statement said that as there were no buyers of this junk in developed countries, this becomes an opportunity for local scrap dealers to import it.

He said 95 per cent of PAAPAM members were currently investing in project expansion and any change in policy would disturb a lot of local as well as foreign investment that was in pipeline.

PAAPAM Vice-Chairman Razzak Ahmad said that parts makers had invested over Rs70 billion and paid Rs8 billion in revenues last year. During the last year, employment strength increased to 165,000 from 145,000. He said the association was against any relaxation or change in the import policy of used parts in any form whatsoever.