Local Tire Manufacturers left out of ITP valuation process
Karachi: The local tyre industry has raised concerns about the lack of consultation regarding the recently issued ITP valuations VR-1958 & VR-1959 dated 17-1-2025. Hussain Kuli Khan, the Chief Executive Officer/MD of GTR, emphasized the importance of consulting with local tyre manufacturers, stating that they play a vital role in meeting the country’s tyre demand by producing 80% of the sizes that are in demand and meeting OEM quality standards. This, in turn, helps save foreign exchange, create employment, and increase tax revenue for the government exchequer. However, Hussain highlighted the fact that they were not consulted during the recent ITP valuation process, which undermines the contributions of local manufacturers.
As the largest local tyre manufacturer in Pakistan, GTR has been producing tyres of international quality standards since 1964. Their product range includes automotive tyres for passenger cars, SUVs, light trucks, trucks, buses, tractors, motorcycles, and Off-the-Road (OTR) applications. Despite their significant contributions to the industry, the local tyre manufacturers were not invited to the last two valuation meetings. Hussain urged the DG of Customs Valuation to engage with them and consider their input during such meetings to ensure fair representation and support for the local tyre industry.
In a letter to the Director General of Customs Valuation, Hussain emphasized the importance of including local manufacturers in the valuation process and requested a meeting to discuss their concerns and provide feedback. He stressed the need for the government to recognize the role of local manufacturers in meeting the country’s tyre demand and supporting the economy through the production of high-quality tyres. By engaging with local manufacturers and taking their feedback into account, the Customs Valuation office can make informed decisions that benefit the industry as a whole.
The local tyre industry plays a critical role in meeting the country’s tyre demand, saving foreign exchange, creating employment, and increasing tax revenue. However, the lack of consultation with local manufacturers during the recent ITP valuation process has raised concerns about fair representation and support for the industry. By engaging with local manufacturers, the government can ensure that their input is considered in setting ITP values and that decisions are made in the best interests of the industry.