According to Mr Mueen Aftab Sheikh chairman of PSM, Pakistan Steel Mills pays more than PKR 8 billion worth taxes to the federal government every year.

As per report PSM contributes annually PKR 6.6 billion as Sales Tax, PKR 860 million as Income Tax and PKR 570 million as excise & custom duties.

Mr Sheikh said that “PSM is facing deteriorated financial condition which has affected the mills progress very badly. PSM is the leading tax payer; if the mills go for shutdown the government would have to loose this huge amount of revenue.”

Mr Sheikh added that “If the option for the shutdown of PSM is considered, over 17000 employees and their families would lose their livelihood. Indirect beneficiaries like the transporters, suppliers, laborers, shop keepers etc would also be affected. There are 820 registered dealers who have deposited over PKR 470 million with the PSM would also suffer as well.”

He further added that in such circumstances about 207 downstream industries might have to be shutdown while iron and steel prices in local market would reach out of access of the buyers. Importers would have monopolized the steel market.

Mr Sheikh said that “But we have decided to keep the PSM in running condition as so many employees and their families are associated to the Pakistan Steel.”

(Sourced from The Nation)