Saturday, October 6, 2012

FATA timber association says no to forest tax

The Express Tribune
The All Fata Timber Association (AFTA) has rejected the provincial government’s tax on timber imported from Afghanistan and threatened to halt imports altogether. According to the association, 25% of timber is imported from Afghanistan. AFTA President Shahid Khan told The Express Tribune that good quality timber is imported from Afghanistan, which is better than local timber or even that imported from the US or the European Union. The timber from Afghanistan comes from Kunar via Bajaur, Mohmand and North Waziristan agencies and then sent to Peshawar and Lahore. It is famous for its softness and beauty and used in constructing windows and doors, among other goods. In addition to the tax, the political agent is also paid to allow imports, Khan said. It costs Rs80,000 per truck in Bajaur and Rs60,000 per truck in Mohmand. Adding to the cost, a duty of Rs8,000 per truck is also paid to the agency for forest development. At the district level, the provincial government has increased the tax from Rs40 per cubic feet to Rs150. “Due to this increase in tax, we will incur losses as local timber is cheaper in the market,” Khan said. Bacha Khan and Abdul Ghafar, representatives of the timber association in Bajaur Agency, said that they were providing employment to hundreds of labourers, carpenters and truck drivers. Many people will lose their jobs if their business shuts down. The Fata Chamber of Commerce is not doing their job, they say. Haji Hanif Khan, a representative from North Waziristan, said that the chamber is a monopoly run by two families who share the seat among themselves. The election process here is a sham because the leaders are chosen beforehand and elections are just a formality, Hanif said. Sardar Khan, another commission agent, said that people are now relying on steel due to the price hike in timber.

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