Lahore: The Lahore Chamber of Commerce and Industry (LCCI) has expressed its appreciation towards the Chief Minister for the withdrawal of a 16% sales tax on rental income, a move seen as significant relief for businesses. This announcement came during a meeting attended by Provincial Minister for Industries and Commerce, Chaudhry Shafay Hussain, where various industrial initiatives were discussed.

Chaudhry Shafay Hussain highlighted several measures aimed at boosting industrial growth. Among these were plans to offer industrial plots at reduced rates and the establishment of a Garment City. Additionally, machinery imports in free zones have been made zero-rated, signaling efforts to enhance industrial productivity and competitiveness.

The Minister reported on reforms in Special Economic Zones (SEZs), where unused plots have been cancelled to prevent stagnation. He emphasized that production must commence within two years of plot allocation or face cancellation, a policy intended to foster active industrial development.

In his address, the Minister revealed that industrial zones are slated for expansion in multiple cities, including Sheikhupura, Vehari, and Sialkot. A new industrial estate and a Surgical City are planned for Sialkot, with further initiatives to increase industrial cooperation with Iran and China.

Faheem Ur Rehman Saigol, President of LCCI, welcomed the government's tax relief and underscored the necessity of reducing business costs in Punjab. He pointed to high power tariffs and interest rates as ongoing challenges, advocating for their reduction to single-digit figures.

Former LCCI President Mian Anjum Nisar echoed these sentiments, urging the government to address infrastructure issues and improve vocational training. He cited high electricity costs as a barrier to industrial competitiveness compared to neighboring countries.

Senior Vice President Tanveer Ahmed Sheikh called for the establishment of a Business Facilitation Office within LCCI to support businesses facing bureaucratic hurdles. He noted that industries are still encountering significant challenges, with some international companies exiting the market.

The meeting underscored the need for concerted efforts between the government and the business community to address existing industrial challenges and leverage opportunities for growth.