FAISALABAD: The Chairman of All Pakistan Textile Mills Association Sheikh Muhammad Khalid Hameed said that the association had decided to voluntarily close down the all textile industry on October 11 against Regional Tax office (RTO) because of the losses it had been suffering.
An emergency meeting of APTMA and Faisalabad Chamber of Commerce (FCCI) general body has deliberated on the adverse circumstances and found it unfeasible to incur losses by operating mills partially Sheikh Khalid said.
According to the APTMA chairman, the cost of doing business in the textile sector has gone through the roof and the burden of incidental taxes in shape of 40-B Local cess of Regional tax ( RTO ) system inefficiencies and the punitive withholding tax regime have added fuel to the fire.
The APTMA chairman said the owners of mills in Faisalabad city had decided to close down operations and lay off millions of workers because they had nothing to offer their international buyers against the regional competitors.
He said decrease in export of textile goods will put a negative impact on Pakistan exports. He further said in the past our textile export figure was stood at 70 percent but now it comes to previous ten year is less than 40 percent.
He said all Pakistan Textile Processing Mills strongly reject levy of financing cost and transaction surcharge and appeal to government to withdraw the same. He also appealed to government to decrease 50 percent amount on electricity bills. that levy of financing cost and transaction rationalization surcharges will definitely destroy the textile processing industry of the country
