ISLAMABAD Federal Board of Revenue (FBR) and Ministry of Industries and Production are at loggerheads over the issue of declaring Auto Disable Syringe (ADS) manufacturing as pioneer industry by offering tax concessions, besides investment incentives. Conflicting state outfits have left the policy in limbo for the last many months and went third time to the Economic Coordination Committee of the Cabinet that in its last meeting constituted a committee that is supposed to report it back. According to the documents available with TheNation, the FBR is staunchly opposed to the Ministrys proposals to grant a ten years tax holiday against criteria of an upfront investment of Rs 500 million in the industry for declaring it pioneer industry. Ministry of Industries and Production is dreadfully trying to formulate a policy, which seems to be advantageous for Auto Disable Syringe (ADS) manufacturing as Pioneer Industry. Likewise, the Ministry is also up for extending incentive packages like that of a Special Economic Zone (SEZ) to Auto Disable Syringe (ADS). However, the FBR did not agree with the proposal for duty exemption on import of plant, machinery and equipment for Auto Disable Syringe (ADS) manufacturing industry. Criteria for granting pioneer status to the ADS industry requires manufacturer to be introducing a new product, in addition to novelty of product with cutting edge technology, and its impact on the countrys economy. Besides duty free import of plant, machinery and equipment, the Ministry also proposed to grant a ten years Income Tax Holiday. It has also proposed that all utilities and other approvals should be made available to the ADS Pioneer Industry on fast track basis. According to the documents, the ECC was of the view that a pioneer Industry should have significant rippling effect on economy; export potential over 50 percent or more; committed level of investment; transparency of the process and quality of technology etc. Similarly, the pioneer industry to be first in Pakistan should be duly verified by the concerned Ministry/Division; minimums Rs.500 million upfront investment excluding cost of land including incentive package may be the same as are allowed to Special Economic Zone (SEZ). Similarly, it was also observed that the ECC during its meeting held on 3rd May, 2010 observed that Auto-Disable Syringes manufacturing industry has already been set up and directed that due care should be exercised to avoid extending this facility to only selected group of industries.