LAHORE – Pakistan Chemical Manufacturers Association (PCMA) has urged the Prime Minister of Pakistan Imran Khan to allow industry for resuming work during Corona lock down on urgent basis under strict safety protocols to ensure economic survival of the poor working class of the county.
Mr. Abrar Ahmed, Chairman and Mr. Iqbal Kidwai, Secretary General of PCMA in a press statement issued here today observed that if the Corona safety lockdown continues after 5th April, it may cause irreparable damage to industry, panic in general public and may lead to a recession depriving millions of industrial workers from their jobs.
It may also ruin the billions of investment placed in the industry, he said adding that the government in Pakistan would not have enough resources to feed masses for a long time.
PCMA Office Bearers stated that the recent relief for industrialists announced by PM is welcome step & announced very timely and it should go a long way helping poor & jobless class. Indeed these fire-fighting steps were need of the hour. Relating to industry we may have to look for more sustainable measures. In order to put the country on its rails, it may be important to set in sustainable measures and that would only be possible if the wheel of the industry would move.
Pakistan is consumer-based economy, if we become self-sufficient in production, current global lock-down may turn a blessing in disguise for Pakistan. Through consumption function of aggregate demand & aggregate supply, the economic cycle of country like Pakistan can run very well in the interim period and beyond.
Chairman PCMA quoted Prime Minister as saying, “25% of our population lives below poverty line”, which means approximately 55 million people will have to be fed from government exchequer. If the lock down persist, it would be impossible for the government to continue financial support sharing the burden by philanthropists notwithstanding.
For instance, if we calculate per head feeding cost as Rs 100 per day, it means Rs 165 billion per month would be required to feed 55 million people of Pakistan, which is a big challenge to be confronted urgently. He pointed out that if the industry did not operate, industrialists would not be in a position to pay taxes, duties etc.
And, deficit financing at this stage would put the country in stagflation & thereby in poverty trap. PCMA suggested that it was high time government took urgent action to allow industry to operate so that economic activity starts generating income for workers & revenue for government.
Industry can be made responsible to adopt strict safety protocols through their respective Associations. The Chairman assured that in case of chemical industry PCMA would ensure operations of chemical units under strict safety protocols.–PRESS RELEASE
