Chamber Supports Market-Based Pricing but Urges Government to Shield SMEs, Exporters, and Transport Sector from Daily Price Volatility
Rawalpindi, July 30, 2026: President of the Rawalpindi Chamber of Commerce and Industry (RCCI), Usman Shaukat, has acknowledged the Government of Pakistan’s commitment to adopting a market-based fuel pricing mechanism through daily price adjustments, describing it as a positive step toward greater fiscal transparency and economic discipline. However, he emphasized that the transition must be accompanied by measures that protect businesses from excessive volatility.
Usman Shaukat, in a statement, noted that market-driven pricing can strengthen fiscal sustainability by reducing hidden subsidies, curbing fuel smuggling, improving market efficiency, and reinforcing the State Bank of Pakistan’s inflation-targeting framework. He said these reforms have the potential to create a more transparent and competitive energy market while safeguarding public finances.
At the same time, he cautioned that daily fuel price fluctuations could significantly increase uncertainty for businesses, particularly small and medium enterprises (SMEs), transport operators, manufacturers, and exporters. Rising fuel costs directly affect freight charges, production expenses, and agricultural inputs, leading to inflationary pressures, weaker competitiveness, and challenges in long-term investment planning.
The RCCI President urged the government to adopt a balanced approach by introducing a price-band mechanism with fortnightly adjustments instead of daily revisions. He also recommended targeted relief for SMEs through fuel subsidies or tax credits during the transition period, automatic fuel surcharge adjustments for the transport sector, closer coordination between fuel pricing and monetary policy, and temporary fuel tax rebates for export-oriented industries.
“The Chamber supports market-based pricing in principle, but reforms must not come at the expense of Pakistan’s productive sectors,” Usman Shaukat stated. “Fuel price reforms should be complemented by practical support for SMEs, exporters, and transporters to ensure sustainable economic growth, investment confidence, and national competitiveness.”
