Karachi, September 04, 2015 (PPI-OT):Mehdi Pour Ghazi, Head of Industrial Committee of Tehran Chamber of Commerce and Vice President of Iranian National Plastic Association has said that good opportunities for enhancing trade exist between Pakistan and Iran but the traders of both countries were reluctant in dealing with each other due to various issues because of sanctions on Iran which will soon be resolved upon lifting of these sanctions.
Mehdi Pour Ghazi, who led an Iranian delegation during its visit to KCCI, added that Iranian businessmen, industrialists and traders were looking forward to healthier trade relations with their counterparts in Pakistan. The Iranian delegation visited KCCI to explore possibilities of enhancing business and trade ties with Pakistan.
Commercial Counsellor of Iranian Consulate in Karachi, Sattar Soltan Shahi, President KCCI Iftikhar Ahmed Vohra, Senior Vice President KCCI Muhammad Ibrahim Kasumbi, Chairman KCCI Sub-Committee on Diplomatic Affairs, Naeem Sharif and KCCI Managing Committee members were also present at the meeting.
The Iranian delegation members, comprising manufacturers and exporters of plastic, petrochemicals, polymer and other similar goods inquired about Pakistan’s Custom tariffs policies and how KCCI can help in ensuring smooth transportation of Iranian goods to Pakistan. In response, President KCCI Iftikhar Vohra said that Iranian businessmen will absolutely face no problems in transporting goods to Pakistan if the goods being exported were carrying all the required documents.
Iftikhar Vohra stated that sanctions on Iran and suspension of L/C have terribly affected trade between the two countries but the situation was likely to improve in the next two to three months after lifting of sanctions. Lack of proper banking channel between Pakistan and Iran keeps business activities very limited which will be resolved as soon as Iranian sanctions were removed, he added. On the occasion, President KCCI also underscored the need to bring down the exorbitant sales tax of 17 percent on import of raw material to single digit which should preferably be brought down to 7 percent.
“Reduction in sales tax on import of raw material would not only help encourage value-addition, industrial expansion and create employment opportunities but will also help in dealing with the menace of smuggling which has been terribly affecting performance of some of the important sectors of Pakistan’s economy”, he said, adding that both countries must make efforts and devise an stringent strategy to deal with smuggling which, if done, would certainly prove favourable for both the economies.
He also appreciated the role being played by the Iranian Consulate in Karachi towards improving trade ties between the two brotherly countries, besides extending full support and cooperation to KCCI members. President KCCI also stressed the need to regularly organize visits of trade delegations to both countries in order to bring business communities closer. Speaking on the occasion, Senior Vice President KCCI Muhammad Ibrahim Kasumbi stated that there was a huge potential to enhance trade between Pakistan and Iran.
He was of the view that China Pakistan Economic Corridor (CPEC), which was likely to be linked with Iran as well, will surely open up new avenues of investment and business expansion in the entire region. He was of the view that removal of sanctions on Iran would result in substantially improving the existing trade volume. “Keeping in view the trade potential between Pakistan and Iran, trade between the two countries will not remain limited to millions but may touch billions”, he added.
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