News Detail

Image

Event Title: Senate Standing Committee on Industries and Production

Event Date: 2019-09-25

Senate Standing Committee on Industries and Production in its meeting on Wednesday was given a briefing by Utility Stores Corporation that the corporation has 188 franchises in the country with 4,041 regular stores and 12,869 total employees. The Committee was told that utility Store is not getting any subsidy or grant for its operational expenses since 2014 and everything is being run from gross profit margin of the sale proceeds. The corporation had 5.122 billion net loss up to March 2019 and paid 0.947 billion as taxes in 2018-March 2019. The Committee strongly recommended reviving the subsidy and giving tax exemption to the corporation to provide better products in low price for general public.

The meeting was held under the chairmanship of Senator Ahmed Khan here at the Parliament House on Wednesday and was attended among others by Senators Asif Kirmani, Naseebullah Bazai, Seemee Ezdi, Aurangzeb Sitara Ayaz, Kalsoom Parveen, Hafiz Abdul Karim, Secretary Industries and Production, MD Utility Stores Corporation and other officials.

MD Utility Stores Mr. Omer recommended rerouting the BISP purchases through the utility stores as it will help utility stores corporation to convert losses into profits. The Committee was told that high sales targets can be achieved if the continuous inventory is sustained at the corporation throughout the year. The corporation has made a strategized work plan to achieve its targets by taking the current margin of sales from 8.67% to 10.17%. up-gradation of stores, hyper markets, improve branding, collaborating with BISP on Ehsaas Card Scheme, ensuring direct supply of stocks, induction of high margin products. Reverting to TCP for purchase of sugar, purchasing wheat grain from PASCO to be milled on contractual prequalified flour mills and having a proper IT strategy was also discussed.

The meeting also discussed the matter of non-functional units of Pakistan Steel Mills and non-payment of gratuity and pensions to employees. The Committee called upon the relevant authorities to understand the problems faced by the old pensioners and decided to call Secretary Finance in the next meeting to discussed issuing funds for the payments.