The steel melters’ industry has renewed its call for special incentives in the upcoming budget to help revitalize the sector and ensure its long-term growth.
In a statement issued on Sunday, Meher Kashif Younis, Vice President of the Gold Ring Economic Forum and a prominent figure in the steel sector emphasized the pivotal role of the steel industry in Pakistan’s economic development. He noted that the industry serves as a vital pillar for construction, infrastructure, and various manufacturing sectors, forming the backbone of national industrial progress.
Meher Kashif said the industry is currently facing a range of challenges, including rising production costs, outdated technologies, and increasing competition from imported steel. He stressed that these issues require urgent policy attention, and incorporating the industry’s demands into the upcoming budget could provide a much-needed boost to its sustainability and global competitiveness. He urged the government to facilitate access to low-interest loans and subsidized financing to help modernize and upgrade steel mills. Adoption of advanced technologies, he said, would significantly improve production efficiency and the quality of output.
At the same time, he highlighted the need for reliable infrastructure, particularly in power supply and transport logistics, to support the smooth functioning of steel plants across the country.
Meher Kashif also called for a reduction in import duties on key raw materials, such as scrap metal, which constitutes the Primary input for domestic steel production. Lowering these duties, he argued, would ease the cost burden on local producers and enable them to compete more effectively in the market. Additionally, he advocated for fiscal relief through reduced corporate tax rates and exemptions from certain levies for a defined period, which would further enhance the financial viability of steel enterprises. He added that government-led initiatives to stimulate demand for locally produced steel would also be critical. Prioritizing domestic steel in public infrastructure and development projects would ensure consistent market demand and support the industry’s revival.
He said that addressing the steel sector’s challenges through the Federal budget would not only help protect existing industrial capacity but also attract future investment, generate employment, and contribute significantly to national economic growth.