KARACHI: The Karachi Cotton Association (KCA) has asked the government to withdraw duty and taxes on cotton imports because of expected short crop which will leave a huge gap of around four million bales between demand and supply.
The caretaker government had imposed a 3 per cent customs duty, 2pc additional customs duty, 5pc sales tax and 1pc income tax on import of cotton from July 15. In support of their demand, the KCA pointed out that after the payment of heavy duties and taxes, the cotton import would become costlier and push up prices of end products like value-added textile goods.
This would further cause setback to country’s exports which are already under stress owing to high cost of doing business and tough competition from regional countries.
