ISLAMABAD: The federal cabinet, which met here on Wednesday, approved a package of Rs2 billion for providing subsidy on food items at utility stores during Ramazan.

Prime Minister Yousuf Raza Gilani directed the departments concerned to ensure adequate supply of essential household items in markets and take stern action against hoarders.

The industries secretary briefed the cabinet on the Ramazan relief package.

The prime minister said commodities should be made available in abundance and there should be no complaint of any shortage.

The food items in the package include flour, ghee, gram, moong, mash, baisan, dates, basmati, sella and broken rice, soft drinks, squashes, tea, spices and milk packs.

It was decided that the Utility Stores Corporation would cut their margin of profit and reduce prices of more than 800 items by five to 10 per cent.There would be a difference of Rs17 per kg in the price of sugar in the open market and at the utility store.

There is a difference of Rs125 to Rs185 in the price of 20kg bag of flour between the open market and the utility store.

The cabinet approved amendments to the PPC (1860) and CrPC draft bills for introduction in either house of parliament.

The amendments would make offences like tampering with oil and gas pipelines, damaging and causing destruction to oil and gas pipelines and theft of oil and gas liable to punishment of imprisonment and fine.

The offence of tampering with the main pipeline will be punishable with imprisonment of 14 years with fine of up to Rs10 million, and tampering with distribution pipelines imprisonment of 10 years and fine of up to Rs3 million.

Tampering with domestic gas meter would involve imprisonment of six months and fine of up to Rs10,000.

Tampering with gas meters of industrial or commercial consumers involves imprisonment of three years and fine of up to Rs1 million.

For implementation of the Supreme Court judgment, the cabinet discussed the proposed amendments to the National Tariff Commission (NTC) Act 1990.

The amendments would allow any two members of the NTC to exercise powers conferred upon the commission with regard to cases falling within its jurisdiction.

The cabinet approved the start of negotiations for finalisation of a memorandum of understanding about collaboration in trade promotion activities between the Trade Development Authority of Pakistan (TDAP) and India Trade Promotion Organisation (ITPO).

The cabinet agreed to the signing of an MoU on media cooperation between Pakistan and China envisaging increased media interaction.

The cabinet agreed in principle to start negotiations for modernisation and expansion of Pakistan Steel Mills and allowed the ministry of production to engage in negotiations with their counterpart in Russia for finalising details for proposed expansion of the PSM.

The cabinet discussed issues related to equal treatment for contribution in research and development fund for fixed line and mobile operators and decided that 0.5 per cent contribution would apply to all operators.