March 21, 2024 (MLN): In order to reduce the harmful hazards arising from the increased smuggling of steel, the Pakistan Association of Large Steel Producers has urged the government to restrict steel imports to sea transport mode.
This agenda was highlighted and proposed through a letter written by the association to the Ministry of Finance.
Highlighting the consequences upon the domestic market due to this illegal smuggling, the producers quoted that around 500,000 tons of steel are being smuggled from Iran annually.
This smuggled volume accounts for about 10% of total local production and results in an estimated annual loss of Rs40 billion to the national treasury.
The letter further mentioned that 20,000 tons of Iranian steel plates were smuggled under the guise of re-rollable scrap in February alone.
As the concerns regarding the illegal trading of the commodity are on a rising trend, Large Steel Producers have now urged the government to implement policy measures on an immediate basis.
One of the initiatives proposed by the association is that the government should restrict steel imports to sea transport to improve transparency and accountability.
