LAHORE - The Pakistan Poultry Association, generating employment for more than 1.5 million people of the country, has said poultry goods, being the agricultural product, are exempted from withholding tax under Income Tax Ordinance 1979.

Presenting a set of recommendations to the federal government, during a ceremony of IPEX-2013, the chief organizer Raza Mehmood Khursand, observed that poultry sector should not be strangulated with oppressive and irrational taxes in a country where per capita consumption of meat is only 6.6 kg and 55 eggs annually. Whereas as per standard requirement, 25-28 kg meat and 250-300 eggs are required to be consumed by each person. Therefore we are already consuming less protein as per required standards.

With a view to enhance production as well as usage of the ‘cheap source of animal protein’ it is requested that poultry producing units being exempted from payment of Sale Tax may kindly be included in the classes of industry that are exempted from the charge of Sale Tax and withholding tax on electricity bills of the poultry producing units, he said.

Khursand recommended that duty should be imposed on import of Grand Parent Stock for broiler and for Layer; Parent Stock for Layer; Parent Stock for broiler; Broiler day-old chicks and Hatching eggs to produce broiler chicks and Chicken meat unprocessed, processed and further processed/frozen.

He said that Turnover Tax for the poultry sector is not viable, therefore FBR issued a notification to reduce Turn Over Tax for poultry sector but no notification has been issued in this regard.

Khursand said that the federal government must take note of each problem, confronted by the poultry sector and efforts may be made to resolve these all problems as soon as possible.

Addressing the concluding session of the IPEX Federal Minister for National Food Security and Research, Sikandar Hayat Khan Bosan said that government is committed to resolve the issues of poultry industry and enhance export of halal processed food as poultry sector can play an important role in uplifting of economy.

Acknowledging the role of poultry industry in job creation and strengthening the economy, he said that government would support industry as thousands of people are attached and it ultimately affects the lives of citizens.

Earlier, he visited the FPCCI regional office where addressing a ceremony he said that government was taking measures to increase the production of wheat, rice and other eatables to make them affordable for the common consumer.

Sikandar Bosan said the food security policy was being finalized and would be forwarded to all the trade bodies. Regarding Cotton Policy, he said that home work had been done, and the policy would be approved probebly in January 2014.

About pesticides business, he said that this matter would be sorted out after consultation with the federal and provincial governments.

To a question on production and export of citrus, the Minister said that the government had signed Memorandums of Understanding (MoUs) with Indonesia and China and this issue would be sorted out.

PFCCI Central Vice President and Regional Chairman Azhar Saeed Butt welcomed the Federal Minister for National Security and Research, and apprised him about the problems being faced by the business community.