ISLAMABAD: Federal Board of Revenue (FBR) notified exemption of customs duty on import of cotton yarn till June 30, 2021.
The FBR issues SRO 533(I)/2021 to comply with the decision of Economic Coordination Committee of the Cabinet (ECC) to exempt whole of customs duty on import of cotton and cotton yarn.
The ECC on April 14, 2021 approved the withdrawal of customs duty to ensure smooth supply of cotton and cotton yarns to the value-added industry, while bridging the gap between domestic production and overall demand for the inputs.
The FBR allowed duty exemption on cotton yarn on import of following categories:
— Cotton Yarn (other than sewing thread), containing 85 percent or more by weight of cotton, not put up for retail sale.
— Cotton Yarn (other than sewing thread), containing less than 85 percent by weight of cotton, not put up for retail sale.
— Cotton Yarn (other than sewing thread) put up for retail sale.
