Smuggled ghee and cooking oil from Iran wreak havoc on local industry


KARACHIContraband edible oil and ghee from Iran are not only costing the government billions of rupees in taxes, but also shutting down local industries due to low prices and the black market, said one responsible.

Former Vice President of Pakistan Vanaspati Manufacturers Association (PVMA) and former President of Korangi Trade and Industry Association (Kati) Sheikh Umer Rehan expressed concern over the the increasing consumption of edible oil and ghee smuggled from Iran into the country and in particular Karachi.

He said thousands of tons of contraband oil and ghee had devastated local manufacturers.

Rehan urged the government and law enforcement to take strict measures to combat smuggling, and the black sheep hiding in government agencies are expected to be found, under whose patronage thousands of tons of edible oil and ghee are coming onto the market.

The former PVMA vice president feared that if the smuggling was not stopped immediately, the local industry would be shut down and the government would suffer significant losses in revenue.

He demanded that the government create competition in the sale of edible oil and ghee, and formulate a strategy to combat contraband and also grant a tax exemption to local manufacturers so that they can compete with contraband oil in because of its low price.


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