The budget for the new financial year 2023 to 2024 has been presented in which certain goods are exempted from import tax along with other taxes and duties.
The 10 percent regulatory duty on used goods has been abolished with effect from July 1. Linda has also become expensive for the last five years, but will it become cheaper now due to the abolition of taxes?
These are the questions on the minds of the low-income white class.
Apart from this, those buying second-hand imported sports goods from Sunday Bazaar are also expecting the goods to be cheaper.
Before 2018, three percent value addition tax was levied on used imported cloth shoes to provide relief to the low income group, which was abolished in the 2018-19 budget.
However, in 2019, the new government added second-hand goods needed by the poor to the list of luxury items and imposed a regulatory duty of 10% on it, along with value addition, import duty was also increased.
Separate categories were set up for shoes, clothes, bags and leather products, with tariffs increasing the price of used items by 30 to 35 percent at the time, and more taxes and dollars in subsequent years. Due to further weakening of the rupee compared to , the goods of Linde have also increased up to 100%.
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Traders are of the view that it is a long journey from Karachi port to Islamabad and they buy a container worth millions of rupees, travel expenses are also high due to high cost of petrol.
He says that besides this, the value of the dollar is very high compared to the rupee. This is also one of the reasons why used imported goods are expensive.
Independent Urdu spoke to various shopkeepers in the Sunday market. Imran, a shopkeeper selling used carpets in Linda section, said: ‘The small carpet that was worth 500 four years ago is now worth 1500 and it can’t be cheap anymore, because of the inflationary conditions, we also have to run the house. .’
Sahib Jan, a shopkeeper who sells decoration goods, was asked the reason for selling used decoration pieces at high prices, he said: ‘The government has asked to remove 10% duty, but how can we buy goods that we have paid duty on? Sell cheap? He said that the old goods will be sold at the same price until they are finished, while they will see what price to keep on the goods bought after the duty is over.
What do buyers say about this?
People belonging to all economic strata come to buy Linde goods.
Some were seen buying sports equipment while some were interested in co-decoration and imported carpets. Most of these stalls were occupied by people from the affluent class.
While there was a rush in the shoes and clothes section as well. A few people buy clean goods from Linde and later sell them online. None of them agreed to talk on camera, but a few of the buyers said that used goods are expensive, but after a discussion, a fair price is found.
One shopper said: ‘However, it is also true that the Linda is no longer what it was a few years ago. Ever since the affluent have moved in, shopkeepers are now quoting higher prices. However, compared to the local market, quality goods are still found here.