Ask any glass producer or processor in Pakistan about the state of the industry and nine out of 10 will suggest that electricity and gas shortages are crippling an otherwise healthy industry. Coupled with a deteriorating law and order situation (which has discouraged fresh investment) and political instability, the industry's spirits have been dampened for a considerable time. It is no wonder, therefore, that Pakistan lags behind the regional glass industry by some considerable distance, although recent capacity additions have led to satisfactory growth in production, consumption and import substitution in an otherwise import-dependent country. The local glass industry, however, has not been helped by the national government's decision to reduce import taxes for glass products, as described in this article.