ISLAMABAD: The federal government has been asked to refund Rs100 billion, stuck with Federal Board of Revenue for the last three years to the textile exporters.
The demand was raised during a meeting of Senate Standing Committee on Textile Industry, under the chairmanship of Senator Mohsin Aziz. The meeting was attended among others by Senators Zahida Khan, Osman Saifullah Khan, Samina Abid, Hari Ram, Aptma Chairman SM Tanveer and PTEA Chairman Sohail Pasha. The committee was given a detailed briefing by Council of All Pakistan Textile Association Chairman Zubair Motiwala.
Motiwala said that high cost of doing business is the main cause of the serious crisis in the industry. The members were told that due to intermittent raise in the prices of raw materials, production inputs and utility tariffs, cost of doing business in Pakistan has escalated enormously rendering our exports uncompetitive in international market.
He said that an enabling environment and competitive structure needs to be provided to the textile industry of Pakistan to cater the dying industry which is at least growth level in the region. He said that textile industries of other countries in the region are growing fast because their governments support.
The committee said that cotton crop sales are about to begin and government should address the textile exporters’ concerns immediately, otherwise the farmers of Pakistan would suffer terribly.
The committee also discussed a public petition pertaining to an appeal of Pakistan Textile Industry Exporters Association to allow zero-rating sales tax facility on export-oriented textile chain and restoration of SRO 1125(1)2011 to its original status declaring textile sector as truly zero rated.
