The Economic Coordination Committee of the Cabinet approved the declaration of warehousing and logistics as an industry.
The Election Commission directed the Ministry of Industry and Production to inform the decision.
On 6 January 2025, the Division of Industries and Production informed the Engineering Contracting Committee that the Committee had previously approved the proposal on 15 August 2024. At that time, the Contracting Committee instructed the Ministry of the Interior and Production to submit a report detailing the concessions received by other sectors declared as industries. And to ensure that all applicable benefits are extended to the warehousing and logistics sector. Thereafter, the Union Cabinet, on August 20, 2024, directed the Ministry of Home Affairs and Production to prepare a comprehensive plan to declare warehousing as an industry.
In compliance with the instructions of the Council of Ministers, the Ministry formulated a detailed plan and shared it with the relevant authorities to obtain feedback. The Ministry of Interior and International Cooperation also reached out to the Warehousing and Logistics Association and the Pakistan Bureau of Statistics on December 4, 2024 to obtain data on the size of the sector, number of establishments, turnover and financial implications. A reminder was sent on December 11, but responses are still pending. Likewise, comments have been sought from the Petroleum Division regarding the impact on gas tariffs, which is also awaited.
The Cabinet Department subsequently shared the ECC Resolution of 27 November 2024, which highlighted the need to integrate storage into a dynamic industrial policy. However, the Engineering Coordination Committee directed the Ministry of Interior and Production to submit a detailed summary in the subsequent Coordination Committee meeting after aligning it with the recommendations of the Cabinet.
At the last meeting, the ECC noted that its previous decision of August 15, 2024, which approved the declaration of warehousing and logistics as an industry, had already been ratified by the Cabinet of Ministers on May 20, 2024. After discussions, the Ministry of Interior and Production requested the approval of the ECC Economic coordination. To implement the comprehensive plan and formally define warehousing and logistics as an industry.
The move is expected to provide the sector with concessions on energy tariffs, credit facilities, and incentives to start operations, in line with benefits offered to other industries.