Pakistani businesses to halt all exports on ‘black day’ next week to protest new taxes 

Pakistani vessels pass by container ships being loaded with cargo at the port of Karachi, 08 September 2003. (AFP/File)
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Updated 25 June 2024
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Pakistani businesses to halt all exports on ‘black day’ next week to protest new taxes 

  • Pakistan hopes plan to raise taxes in proposed budget, boost state revenues will help win approval for IMF loan 
  • Taxes have notably been slapped on previously protected export-oriented sectors such as textiles 

KARACHI: Representatives of Pakistani exporters on Tuesday announced they would observe a “black day” next week in which all exports would be halted to protest new taxation measures in the federal budget 2024-25

The South Asian country hopes its plan to raise taxes in the proposed budget and boost state revenues will help it win approval from the IMF for a loan to stave off another economic meltdown. 

Pakistan has set a challenging tax revenue target of $47 billion for the next fiscal year, a 40 percent jump from the current year to strengthen the case for a new bailout deal. The big rise in the tax target is made up of a 48 percent increase in direct taxes and 35 percent hike in indirect taxes. Non-tax revenue, including petroleum levies, is seen increasing by a whopping 64 percent.

Taxes have notably been slapped on previously protected export-oriented sectors such as textiles, which consistently make up over half of Pakistan’s exports, and whose receipts keep a persistently high external account deficit in check.

Immediately after the budget speech, the representative body for the sector, All Pakistan Textile Mills Association, had called for a review, terming the budget “extremely regressive” and one that “threatens the collapse of the textile sector and its exports.” It warned of “dire consequences for employment and external sector stability, as well as for overall economic and political stability and security.”

“On Export Black Day, not a single export consignment will be dispatched from the entire country,” Jawed Bilwani, chief coordinator of the All Exports Association of Pakistan, said at a press conference on Tuesday. 

Representatives of 20 export sector associations announced a symbolic strike to protest what they called the failure of the government to maintain a fixed tax regime and the approval of a proposal for 29 percent tax on exported income. 

As part of the strike, over 20 export industries will observe an “Export Black Day” next week and halt all exports. If the exporters’ demands were not met, they would announce further actions, Bilwani said. 

Under the fixed tax regime, Pakistan exporters had to pay 0.25 percent as Export Development Fund(EDF) and withholding tax of 1 percent of export turnover in addition to 0.25 to 0.35 percent bank charges which constituted 1.85 percent of the total turnover, according to exporters. With new tax measures, exporters said they would not be able to cover operational costs and may need to shut down. 

“This budget is detrimental to exports,” Iftikhar Ahmed Sheikh, President of the Karachi Chamber of Commerce and Industry (KCCI), said, adding that proposals in the budget would compel exporters to entirely cease operations.

Addressing another press conference at the Karachi Press Club, fruit and vegetable exporters warned that placing exports under the normal tax regime would have a “very serious impact” on the economy of Pakistan.

 “Abolition of fixed tax regime will significantly reduce exports and closure of export units will lead to widespread unemployment,” Waheed Ahmed, the Patron-in-Chief of All Pakistan Fruit and Vegetable Exporters Association (PFVA), said. “The tax revenue targets will not be met, shortage of foreign exchange will further depreciate rupee above all.”

The end of the fixed tax regime will also require exporters to maintain records of their income, expenditure and profits which they said was not possible under current circumstances due to supply chain issues.

“In the case of the 29 percent tax imposed on export income in the Federal budget 2024-25, the focus of exporters will be diverted from the main goal of enhancing the export of fruits and vegetables from Pakistan since they will spend more time in maintaining records of income, expenditure and profit,” Ahmed added.

In a separate press conference, Chairman of Pakistan Gem and Jewelry Traders and Exporters Association (PGJTEA) Habib-ur-Rahman said the export industry of gold jewelry was currently suffering a “severe crisis.”

“Exports are suspended and the 18 percent sales tax requirement on advance gold purchase from foreign buyers under the Entrustment Scheme by the Federal Board of Revenue has dashed the hopes of exporters,” Rahman said, adding that the export of gold ornaments would be reduced from $100 million to $1-2 million if the sales tax exemption was not restored on the export of gold ornaments.

In a rare move, representatives of the country’s salaried class also lodged their protest against new taxation measures.

Ubaidullah Shareef, the President of Salaried Class Alliance Pakistan, a newly formed body, said the government had “further burdened” the already struggling salaried class.

“The salaried class pays three times more tax than exporters and retailers,” Shareef said, highlighting that educated segments of society were leaving the country due to oppressive taxes.


Five militants killed, two CTD personnel injured in southwest Pakistan— police

Updated 22 June 2025
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Five militants killed, two CTD personnel injured in southwest Pakistan— police

  • Balochistan CTD carry out intelligence-based operation in Killa Abdullah district, say police 
  • Pakistani Taliban militants have carried out deadly attacks against law enforcers since decades

QUETTA: Five militants were killed while two Balochistan Counter Terrorism Department (CTD) personnel were injured during a counterterror operation in southwestern Pakistan this week, CTD said. 

The CTD said its personnel conducted an intelligence-based operation in Jungle Pir Alizai area of Balochistan’s volatile Killah Abdullah district on Saturday when the exchange between the Pakistani Taliban or the Tehreek-e-Taliban Pakistan (TTP) militants and law enforcers took place. 

“In an exchange of fire, five suspected terrorists were killed,” the CTD spokesperson said in a statement released Saturday night. “Weapons and explosives were recovered from the terrorists during the operation,” it added. 

CTD said maps of “sensitive locations” and other items were also recovered from the slain militants, adding that they were involved in militant activities in Pishin and Killa Abdullah districts.

The TTP has launched some of the deadliest attacks in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) and southwestern Balochistan provinces targeting civilians and law enforcers since 2007. 

Pakistan has suffered a surge in militant attacks in KP and Balochistan since November 2022 when peace talks between the state and the TTP broke down. 

Pakistan blames the Afghan government in Kabul for sheltering TTP militants that carry out attacks against Islamabad. The Afghan Taliban deny the allegations and have urged Islamabad to resolve its security challenges internally. 

The TTP has mainly carried out its operations in KP though it has also targeted Balochistan, Pakistan’s largest province by land mass yet its most backward by almost all social and economic indicators. 

Balochistan has been rocked by a low-level insurgency for decades, where ethnic Baloch separatists accuse Islamabad of denying locals a share in the province’s natural and mineral resources. 

Pakistan denies the allegations and says it is carrying out several health, educational and development projects in the province. 


Pakistan regulator advises oil companies to maintain 20-day stocks as Iran-Israel conflict escalates

Updated 22 June 2025
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Pakistan regulator advises oil companies to maintain 20-day stocks as Iran-Israel conflict escalates

  • Oil and Gas Regulatory Authority clarifies Pakistan holds “sufficient stocks” to meet current demand
  • Experts have warned of spiraling inflation, oil supply constraints due to ongoing Iran-Israel conflict

ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) confirmed on Sunday it has advised oil marketing companies to maintain their mandatory 20-day stock levels, clarifying the country holds “sufficient stocks” of petroleum products as the Iran-Israel conflict intensifies. 

Local media outlets reported this week that Pakistani authorities have accelerated oil imports as the Iran-Israel conflict rages on. The conflict took a turn for the worse early Sunday after the US military struck three sites in Iran, inserting itself into Israel’s war aimed at destroying the country’s nuclear program in a risky gambit that could spark a wider regional conflict. 

Experts have warned of spiraling inflation and global oil supply constraints due to the ongoing Middle East conflict. Concern is focused on potential disruptions in the Strait of Hormuz, through which roughly one‑fifth of global oil transits, and weak supply growth from Iran, which produces about 3.3 million barrels per day. Analysts caution any sustained spike could drive up global freight rates, insurance premiums and inflation, particularly in energy‑importing countries like Pakistan.

“The Oil and Gas Regulatory Authority (OGRA) has confirmed that the country currently holds sufficient stocks of petroleum products to meet existing demand,” OGRA spokesperson Imran Ghaznavi said in a statement.

“However, in view of anticipated future requirements and the prevailing market situation, OGRA has formally advised all Oil Marketing Companies (OMCs) to ensure the maintenance of their mandatory 20-day stock levels, in line with the conditions stipulated in their respective licenses.”

The spokesperson said OGRA remains committed to monitoring the ongoing situation in the Middle East closely and will continue to take “proactive steps” to ensure national energy security.

Pakistan relies heavily on imported oil, meaning that any sustained spike in prices could widen its current account deficit and push inflation higher at a time when the country is struggling with low foreign reserves and slow growth.

The Israel-Iran conflict started on June 13 when Israel launched a massive wave of attacks targeting Iranian nuclear and military facilities but also hitting residential areas, sparking retaliation and fears of a broader regional conflict.

Over 400, mostly civilians have been killed in Iran so far, while Israel has reported 24 civilian deaths in retaliatory strikes by Tehran and over 1,200 injured. 

Pakistan has condemned Israel’s strikes against Iran and has called on world powers to intervene for an immediate ceasefire in the Middle East through dialogue and diplomacy. 


Pakistan re-elected to OIC’s human rights commission till 2028

Updated 22 June 2025
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Pakistan re-elected to OIC’s human rights commission till 2028

  • Former diplomat Riffat Masood to represent Pakistan at commission, says Deputy PM Ishaq Dar 
  • Commission deliberates on key issues such as women’s rights, Islamophobia, extremism and others

ISLAMABAD: Pakistan has been re-elected to the Organization of Islamic Cooperation’s (OIC) human rights commission from 2025-2028, Deputy Prime Minister Ishaq Dar said this week, thanking member states for their support. 

The Independent Permanent Human Rights Commission (IPHRC) is an expert body with advisory capacity established by the OIC as one of the principal organs working independently in human rights. 

Since it was launched in 2011, the commission has deliberated on important issues such as the rights of women and children, the right to development, combating Islamophobia, extremism and intolerance as well as human rights situations in different countries.

 “Pakistan has been re-elected today to the OIC-Independent Permanent Human Rights Commission (IPHRC) for the period 2025-2028 on the sidelines of ongoing meetings of the Council of Foreign Ministers in Istanbul,” Dar, who also serves as Pakistan’s foreign minister, wrote on X on Saturday.

Dar said former Pakistani ambassador Riffat Masood will represent Pakistan at the Commission.

“We thank the Member States for their support & commend IPHRC’s vital role in promoting respect for Human Rights globally,” the Pakistani minister concluded. 

At the 51st session of the OIC’s CFM in Istanbul, Dar voiced alarm over escalating tensions in the Middle East, blaming Israel’s military actions in Gaza and recent strikes in Iran for deepening instability and humanitarian crisis in the region.

The high-level conference was held at a moment of crisis for several OIC member states. Two of the bloc’s key countries — Pakistan and Iran — have recently experienced military escalations with regional rivals.

“Israeli aggression against Iran is not an isolated event,” Dar said in his address to the forum on Saturday night. “It is part of a dangerous and consistent pattern of militarism that Israel has demonstrated across the Middle East.”


Dust, paper, and crowds: Inside the Peshawar book bazaar that never runs out

Updated 22 June 2025
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Dust, paper, and crowds: Inside the Peshawar book bazaar that never runs out

  • Chaka Gali serves students and collectors with used and rare books at affordable prices
  • Booksellers say many visit the lane out of compulsion, not passion, due to financial hardship

PESHAWAR: In a narrow alley in the heart of Peshawar’s walled city, the scent of dusty pages lingers in the air as visitors step into Chaka Gali, a book bazaar believed to be even older than Partition that continues to serve students and collectors with stacks of used and rare titles at prices few other markets can match.
Thought to have been there in some form before 1947, the market remains one of the oldest surviving second-hand book bazaars in Pakistan. Its tight street is lined with small, dimly lit shops where wooden shelves sag under the weight of textbooks, novels, encyclopedias and exam guides.
Some titles lie in neat piles. Others are scattered on the ground. Most have passed through many hands.
“Chaka Gali is more than 70 years old,” Abdul Jameel, a bookshop owner in his 50s, told Arab News. “You can see the houses [around]. They are almost older than the partition [of Pakistan and India].”
The market’s offerings cater to a wide range of interests. Textbooks for schoolchildren sit alongside Urdu and English fiction, MBBS manuals, CSS prep guides, and religious literature, all at steeply discounted prices.
“You can find any sort of book here,” Jameel continued. “If you need books for primary school for children [or] course books, they can be found here. If you need general English novels, they are also available. If you require Urdu novels, you can get them from here.”
The books, he said, come from multiple sources. Some are purchased from families clearing out private collections while others are supplied by scavengers who collect discarded books from homes and streets and resell them to vendors in the lane.
He identified Lahore’s famed Urdu Bazaar — a historic hub of Pakistan’s publishing trade — as the third source, noting that it supplies unsold or surplus books to dealers across the country.
Jameel said many of these brand-new but excess titles are passed on to vendors at reduced prices.
This benefits the market’s primary customers who come not for the love of books but because they have no other choice.
“The buyers mainly come from the lower class,” he said. “Those who can’t buy books for children [since they can’t afford them] come and take old books from us.”
Jameel said such buyers arrive in the lane “out of compulsion, not a passion for reading.”
“The craze for reading has almost ended,” he added.
Ismail Khan, another second-hand bookseller in his 30s, said he had worked in the market for 15 years.
He pointed out that the rise of digital learning and online reading has cut into sales, though physical books still hold emotional and practical value for many.
“The sales of old books has declined these days,” he noted. “If you see, many people read ebooks.”
However, he noted some readers prefer the tactile experience of a physical book and aren’t drawn to screens.
He also blamed the shrinking customer base on widespread financial hardship.
“A book that previously cost Rs100 is now available for Rs500,” he continued, adding that many people have lost the capacity to buy new books.
Hasir Mir, one of the regular visitors to the lane, said he is a pharmacy student who has relied on Chaka Gali for his academic needs since school.
“I have bought all books of Grade 8, 9 and 10 … from here,” he said. “One of the reasons is that the prices here are reasonable compared to other places.”
Beyond affordability, he observed, the market offers an unmatched range of books.
“I can easily find pharmacy-related books here,” he added. “If you are doing IT, ACCA or you are a student of any other field, you can find the books you want.”
For Mir and many others, Chaka Gali is more than just a marketplace — it’s a lifeline.
Visitors to the second-hand market say that in a country where inflation has turned books into a luxury, the lane quietly preserves the belief that knowledge should remain within reach — even if the pages are a little worn.


Pakistan’s foreign minister meets Saudi, Kuwaiti and Kazakh counterparts on OIC sidelines

Updated 22 June 2025
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Pakistan’s foreign minister meets Saudi, Kuwaiti and Kazakh counterparts on OIC sidelines

  • Ishaq Dar and Prince Faisal bin Farhan discuss avenues to strengthen ‘strategic cooperation across all sectors’
  • Dar also focuses on enhanced trade and investment in talks with the Kuwaiti and Kazakh foreign ministers

ISLAMABAD: Pakistan’s Foreign Minister Ishaq Dar on Saturday met his Saudi counterpart Prince Faisal bin Farhan in Istanbul to discuss bilateral ties and strategic cooperation, as he held a series of diplomatic engagements on the sidelines of the 51st session of the Organization of Islamic Cooperation (OIC) Council of Foreign Ministers.
The talks came as the escalating crisis in the Middle East, particularly Israel’s military campaign in Gaza and its recent strikes inside Iran, dominated the agenda of the high-level summit, drawing sharp rebukes from several Muslim countries including Pakistan.
“Delighted to meet my brother, HH Prince Faisal bin Farhan, on the sidelines of the 51st OIC Council of Foreign Ministers Meeting in Istanbul,” Dar said in a social media post. “We reaffirmed the deep-rooted brotherly ties between our two countries & explored avenues to further strengthen our strategic cooperation across all sectors.”
https://x.com/mishaqdar50/status/1936410048219001309?s=46&t=x28vcP-XUuQ0CWAu-biScA 
The meeting underscored Pakistan’s close relations with Saudi Arabia, which has extended critical financial support to help Islamabad navigate a prolonged economic crisis in recent years. The Kingdom played a key role in unlocking a crucial loan program from the International Monetary Fund and remains Pakistan’s largest source of worker remittances, a major pillar of the country’s economy.
Dar also met Kuwaiti Foreign Minister Abdullah Ali Al-Yahya to discuss expanding trade and investment ties, amid Pakistan’s efforts to attract Gulf investment and secure more employment opportunities for its workers in the region.
“Met my dear brother Abdullah Al-Yahya, Foreign Minister of Kuwait, on the sidelines of the 51st OIC CFM in Istanbul,” he said. “We discussed Pak–Kuwait bilateral ties, trade & investment, cooperation within OIC, and regional & international developments of mutual concern. Grateful for Kuwait’s steadfast support, especially amidst recent escalations [with India].”
https://x.com/mishaqdar50/status/1936411452463570991?s=46&t=x28vcP-XUuQ0CWAu-biScA 
Dar also held a meeting with Kazakh Deputy Prime Minister and Foreign Minister Murat Nurtleu to reaffirm strong bilateral ties and explore opportunities for regional connectivity.
According to Pakistan’s foreign office, the two leaders agreed to enhance cooperation in trade, investment and infrastructure, with Dar welcoming a planned high-level visit from Kazakhstan to Pakistan in October 2025 to strengthen the partnership further.
Islamabad has repeatedly highlighted the importance of ties with Central Asian states, offering its southern ports as a gateway for the landlocked region to access international markets through sea trade.