Textile exports could jump up to $25b

Tuesday June 30, 2009

FAISALABAD: Textile exporters could bring $ 25 billion forex from exports in next two years and 120 billion during next 10 years if they are provided level playing field and productivity conducive consistencies.

This was claimed by Azhar Majeed Sheikh Chairman,Federation of Pakistan Chambers of Commerce and Industry (FPCCI) standing Committee on export trade here Monday in post budget proposals to Shaukat Tarin Advisor on Finance.

Major issue pertaining to exports still remains unattended, he said. He demanded exemption of federal excise duty on insurance, banking, port and terminal operations for zero rating purposes. Yet another demand was refund of duty drawback and sales tax at time of negotiation in banks as is case with deduction of income tax. He also demanded payment of pending refund of earlier years and also release of 60% R&D claims.

Azhar Majeed Sheikh demanded offsetting the free access of Bangladesh and other regional Countries to Europe and America through export incentives to local industry.

These constraints have put the exporters in a very difficult cash flow station; he contested and demanded capping of mark up rate on various products to 7.5% and freezing of earlier accumulated mark up for 2years and provision of Rs.40 billion for direct cash support to export industry.

He assured that if irritants are removed, level playing field is provided and export conducive measures are enforced, the exporters would achieve the higher targets for exports.


(APP)