LAHORE: Exporters have rejected the draft presented by the Federal Board of Revenue (FBR) for the simplification of export promotion scheme, saying it is going to make the process difficult.
Towel Manufacturers Association of Pakistan Chairman Feroze Alam Lari said that the draft was just like Duty and Tax Remission for Export (DTRE) scheme rules and gave a lot of discretionary powers to government officials, which would open the doors of corruption and create hurdles in the way of manufacturers and exporters.
“The FBR draft on the simplification of export promotion scheme gives more stress rather than providing relief and comfort for the manufacturers and exporters,” said Topline Securities’ analyst Saad Zakir said.
“To start with, submitting a bond for import and release of goods causes more financial burden and workload for the exporters,” he maintained.
Secondly, the IOCO analysis certificate will require exporters to import only a limited quantity, which will create output pressure on them as some product mix had been used to manufacture goods, he said, adding, “We believe the textile sector cannot quote the exact number of required quantities.”
