Govt Urged to Withdraw EDB Commercial Vehicle Import Notification

The Senate Standing Committee on Finance and Revenue, chaired by Senator Saleem Mandviwalla, on Tuesday recommended that the government withdraw the notification issued by the Engineering Development Board regarding the import of commercial vehicles, citing concerns over its impact on business activity and government revenue.

The committee witnessed a heated exchange over vehicle import regulations and allegations of revenue losses. Senator Faisal Vawda defended his earlier remarks, stating that no statement had been made with the intention of offending anyone.

Vawda expressed concerns over the Federal Board of Revenue’s performance, saying that while the FBR chairman may have good intentions, revenue targets were not being achieved.

Officials from the Ministry of Industries and Production informed the committee that the motor vehicle sector had historically remained under the jurisdiction of the Engineering Development Board, which is responsible for vehicle standards and type approvals. They explained that vehicle safety standards are applied equally to locally manufactured and imported vehicles.

During a detailed briefing, officials highlighted that approximately 25,000 lives are lost annually in traffic accidents in Pakistan. They stressed that vehicle safety standards are periodically reviewed worldwide and that failure to enforce proper standards can lead to significant loss of life.

The committee was informed that the International Monetary Fund had advised Pakistan against imposing unnecessary restrictions on commercial imports, while also emphasizing the need to establish vehicle safety standards.

Questioning government delays, Haroon Akhtar asked Senator Vawda to substantiate his claim regarding Rs. 125 billion in corruption. Vawda clarified that he was referring to revenue losses rather than direct corruption and maintained that the national exchequer had suffered a loss of Rs. 125 billion due to the failure to implement the policy for eight months.

Federal Minister for Science and Technology Khalid Magsi said that investigations would be conducted into the matter and acknowledged that responsibility could extend to senior officials. He also admitted that mistakes had occurred and should be addressed.

Secretary Science and Technology Shahid Baloch told the committee that his ministry was responsible for quality control oversight but lacked the laboratory infrastructure required to benchmark vehicle standards effectively.

At one point, officials from different ministries exchanged sharp remarks over institutional responsibilities. The secretary of industries and production maintained that quality assurance fell under the mandate of the Ministry of Science and Technology and urged it to fulfill its obligations.

Senator Vawda called for the immediate withdrawal of the notification, arguing that pre-shipment and post-shipment inspection mechanisms were already in place. He further claimed that business activity had been disrupted and that the government was losing approximately Rs. 20 billion in revenue every month.

Haroon Akhtar challenged Vawda’s statements, noting that he had publicly alleged corruption worth Rs. 125 billion but was now describing the matter as revenue loss. In response, Vawda argued that losses caused by negligence and monopolistic practices should also be treated as a serious issue.

Following deliberations, the committee formally recommended that the government withdraw the EDB notification concerning commercial vehicle imports and review the policy framework in consultation with all relevant stakeholders.

During the meeting, Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar informed the committee that work was underway on the country’s Solar Policy, Mobile Phone Policy, Auto Policy, and Battery Policy.