Govt Is Comparing Import Duties Incorrectly

A debate has erupted over Pakistan's claim to have higher import duties than regional countries, with industrialist Amir Ullah Wala contending that the government used different measures when comparing tariff rates globally. Speaking at a conference, Wala pointed out that Pakistan's reported tariff rate of 18.54 percent includes both customs and regulatory duties, unlike the figures used for neighboring nations.

According to World Trade Organization data, Pakistan's average customs tariff in 2023 was 10.3 percent, compared to 17 percent in India and 14.1 percent in Bangladesh. Wala argued that the discrepancy arises from including additional duties in Pakistan's figures, making the regional comparison unfair. The Commerce Ministry maintains that the 18.54 percent figure represents Pakistan's overall average import duties, noting that the WTO does not account for para-tariffs in its calculations.

Dr. Rubina Athar, a former chairperson of the National Tariff Commission, stated that the definitions of duties used for Pakistan and other countries are not consistent. Dr. Manzoor Ahmad, a board member, acknowledged that both Wala and Athar's figures are valid within their contexts. The national tariff policy aims to reduce import duties from 20.1 percent to 9.7 percent by 2030, but concerns persist among industrial groups who argue that Pakistan's weak exports are due to security and economic challenges, along with higher regional taxes and electricity costs.