Summary 50 plants out of total 120 in the country are shut
LAHORE (Dunya News) – Motorcycle assemblers have demanded the government on Tuesday to relieve the industry of some taxes in the upcoming federal budget of Fiscal Year (FY) 2016-17.
According to the body, 50 plants out of total 120 are shut and the remaining are not meeting their production maximum. Only 50 percent of total production capabilities are being utilized currently by production houses in the country.
The industry is capable of producing around 4 million units per anum but sales are stagnated at 2 million.
Read also: Cement manufacturers seek tax relief in FY 2016-17
Industrialists said that lesser production leads to increased manufacturing cost while government’s production quota scheme has resulted in limited use of capability.
The body has stated that employment opportunities would increase if the government considers industrialists’ recommendations and cuts taxes.
Federal budget for fiscal year 2016-17 is scheduled to be announced in June. Federal Minister Ishaq Dar had delayed the announcement which was to be made in May in light of the burning Panama leaks issue.
Opposition and the government have locked horns over formation of TORs and probe of the leaks against premier’s family.
