ISLAMABAD: The Economic Coordination Committee of the Cabinet on Thursdayapproved the continuation of general subsidy on five essential itemsthrough Utility Stores Corporation till 30th of June.

The ECC, which met in Islamabad today with Finance Minister Dr Abdul HafeezShaikh in the chair, also approved re-allocation of over Rs2.3 billion forprocurement and IT infrastructure for automation of stock managementthroughout the network of Utility Stores.

ECC approved in principle, with a direction to hold further consultationwith the ministry of Information technology and ministry of finance forsmooth implementation.

It may be added that the subsidy is being given on five essential items outof funds allocated under Prime Minister’s Relief Package-2020 in thebackdrop of COVID-19 pandemic.

Earlier on January 21, in a bid to bring down prices of sugar in thecountry, the Economic Coordination Committee (ECC) of the cabinet hadapproved a reduction of withholding income tax on commercial import ofwhite and raw sugar form 5.5 per cent to 0.25 per cent and removal ofvalue-added sales tax on import of white sugar.

The ECC meeting chaired by Minister for Finance and Revenue Dr. AbdulHafeez Shaikh had directed the Trading Corporation of Pakistan (TCP) toimport white sugar upto 500,000 MT if and when needed during the currentseason.