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LCCI opposes levy on exports

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Business body urges airlines and Gerry’s Dnata to abolish fee, warning it will raise export costs

LCCI President Faheemur Rehman Saigol. Photo (file)


LAHORE:

The Lahore Chamber of Commerce and Industry (LCCI) has expressed concern over the imposition of a Rs50 per kilogram charge on export cargo by Gerry’s Dnata, terming the move unjustified and harmful for Pakistan’s already struggling export sector, and calling for its immediate and permanent abolition.

In a statement issued on Saturday, LCCI President Faheemur Rehman Saigol said the Air Cargo Agents Association of Pakistan (ACAAP) had conveyed serious concerns regarding the sudden and unilateral imposition of the charge. He said the decision had created anxiety among freight forwarders, cargo agents and exporters across the country.Saigol said such measures, introduced without prior consultation with stakeholders, risk disrupting export operations and increasing the financial burden on the business community. He added that exporters were already operating under challenging conditions, including high energy tariffs, rising transportation expenses, volatile global demand and increasing compliance costs. According to Saigol, any additional financial burden in the logistics chain would directly translate into higher export costs.

The LCCI president said higher export costs could make Pakistani products less competitive in international markets.

He noted that ground handling arrangements are traditionally managed between airlines and their appointed handlers, and exporters should not be subjected to unilateral charges at the cargo handling stage.

Saigol said imposing additional fees without consultation with the industry sets an unhealthy precedent and could create uncertainty within the trade and logistics ecosystem.

He emphasised that Pakistan’s export sector requires facilitation, stability and policy consistency rather than additional cost pressures.

Improving trade facilitation and reducing logistics costs are essential for achieving sustainable export growth and enhancing foreign exchange earnings, he said. Saigol urged Gerry’s Dnata and the concerned airlines to immediately review the decision and abolish the imposed charges permanently in the larger interest of exporters and the national economy. He stressed that operational or pricing changes affecting export cargo should be introduced through dialogue and consensus with trade bodies and industry representatives.

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