Pakistan's Failure Deepens Pogb Crisis As Traders' Protest Paralyses China Trade

A high-powered committee formed by Prime Minister Shehbaz Sharif once again failed to evolve a consensus on Tuesday over the demands of Pakistan-occupied Gilgit-Baltistan's (PoGB) traders, forcing the matter to be postponed until Wednesday, as reported by Dawn. According to Dawn, the 22-member body headed by Federal Energy Minister Awais Leghari met in Islamabad for the fourth time to address disputes linked to taxes and clearance of consignments imported through the Khunjerab Pass. The meeting was attended by senior ministers Rana Sanaullah and Amir Muqam, Attorney General Mansoor Usman Awan, Senator Saleem Mandviwalla, PoGB Chief Minister Haji Gulbar Khan, PoGB Assembly member Amjad Hussain Advocate, and representatives from state institutions, including NLC, FBR and ISI.

The session remained inconclusive after PoGB representatives reiterated their demand for declaring the region a tax-free zone, arguing that as a non-tariff area, federal taxation was unjustified. They also called for permission to import unlimited goods from China for local consumption. However, Senator Mandviwalla opposed unrestricted imports, while others expressed reservations over exempting PoGB residents from income tax and other federal levies, as highlighted by Dawn.

PoGB lawmakers also pressed for the urgent release of consignments stuck at Sost Dry Port for nearly 10 months, citing billions in losses suffered by traders. The impasse forced the committee to defer its recommendations for another session, the PoGB Cabinet, after consulting protesting traders, had submitted proposals suggesting that imports for local use should require approval from the PoGB government.

The Cabinet further proposed relief for perishable goods under the prime minister's amnesty scheme, exemption of local traders from federal taxes on goods sold in PoGB, while maintaining duties on consignments sent outside the region Opposition members in the PoGB Assembly staged a walkout on Monday after their resolution seeking a tax-free status for the region was not tabled. Speaker Nazir Ahmed attributed the lapse to a lack of quorum, as reported by Dawn. 

On the ground, the traders' protest at Sost entered its 50th consecutive day, blocking the Karakoram Highway and halting cross-border trade with China offices remained shut, stranding tourists, Chinese nationals and Pakistani students enrolled in Chinese universities, as reported by Dawn. 

(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.) 

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