LAHORE - The export oriented industry representatives, appreciating Prime Minister Nawaz Sharif for accepting its demand of zero rated regime’s restoration for five export sectors, has demanded the early implementation of this positive decision instead of its realisation from next fiscal year.
Knitwear garment export industry welcomed the announcement made by Prime Minister that zero rating of Sales Tax for 5 export sectors will be restored from 1st July, 2016.
Abdul Hameed, Vice Chairman Pakistan Hosiery Manufacturers and Exporters Association, appreciated this positive gesture of government which will save the exporters from a lot of troubles but demanded immediate issuance of related official notification.
Five export sectors - textile, leather, carpets, sports goods and surgical instruments - contribute major share in export earnings, besides providing employment to millions.
Shahzad Azam Khan, Chairman Pakistan Knitwear and Sweater Exporters Association, expressed his concerns that most of the promises of the government for support of export oriented sectors remained unfulfilled, therefore notification about zero rating should be issued immediately to avoid any complications.
He further said that, apart from sales tax refunds, billions of rupees under the textile policy initiatives like DLTL are still held up for which funds should be released immediately.
Shehzad Azam Khan said that is a matter of concern for the country that despite GSP Plus window, exports of the country are showing declining trend and related workforce is losing their jobs. Government should adopt pro-export policies and ensure their effective implementation so that country could continue its journey to development and prosperity.
Rice Exporters Association former regional chairman and GCCI president Samee Ullah Ch said that exports of country are major source of providing employment and earning foreign exchange for the country but they are under heavy internal and external pressures. Therefore they should be given priorities in solution to their problems so that economic prosperity can be achieved.
He again reminded the government of un-implemented parts of the textile policy which is hurting growth of the value added garment export.
Samee Ullah Ch said that this was need of the time and would help in a long way to increase exports and overcome liquidity crunch.
He said that this step was even more necessary when there is recession in the world and our export were declining.
LCCI President Sheikh Muhammad Arshad said that Prime Minister has won the hearts of business community by accepting their longstanding demand.
He said that the step would go a long way and help promote country’s exports which are stagnant since long. He said that the Prime Minister’s announcement is an ample of government’s seriousness to put economy back on rails.
He said that it would boost the trust of not only local businessmen but would also give a very good message to the foreign investors. He also hailed the government efforts for economic stability saying that confidence of the business community to invest in diverse economic fields has been reinforced through business friendly policies of the government.
He said that zero-rated sales tax regime for exporters would certainly bring down the industrial cost of doing business and Pakistani products would be able to win their due share in the international market. He said that this initiative of the government would encourage business doing people to supplement the government endeavors aimed at economic revival of the country.
Gulzar Firoz, Chairman, Pakistan Tanners Association, has also welcomed the announcement by the Prime Minister for giving a “Zero Rated Regime for the five Export Sectors”, including Leather Sector.
He also appealed to the Prime Minister and Finance Minister that the pending rebates should be refunded immediately and once for all as already assured.