National Assembly Approves Amendments in Trade Organizations Act

The National Assembly Tuesday passed the Trade Organizations (Amendment) Bill 2022, which amends the Trade Organizations Act 2013.

Minister for Commerce Syed Naveed Qamar introduced the bill which was approved by the standing committee and unanimously passed by the House. Additionally, it also passed a motion extending the Tax Laws Second Amendment Ordinance 2022 for another 120 days.

Under the new bill, the federal government would delegate authority over operational matters of trade organizations (TOs) to the Ministry of Commerce or the regulator to ensure smooth day-to-day operations.

The Trade Organisation Act 2013 governs TOs based on their statements of objects and reasons. With the latest amendment, the Act and its rules seek to define the purpose, role, responsibility, and operational framework for TOs and their related matters, as well as the code of corporate governance. Pertinently, the previous bill delegated certain functions and powers to the federal government.

The proposed amendments to the Trade Organizations Act 2013 are poised to allow the directorate general of the Trade Organization and Commerce Division to deal with operational issues in the regulation of TOs more quickly.

By extending the tenure of trade bodies to two years, the management of trade bodies will have more time to implement their policies and agendas.