Page 8 - November-December-2017

08 09

News

Ministry of Textile industry

revised PM export package

In a notification, the Ministry of Textile Industry has namely: Duty Drawback of Taxes Order 2017-18. It
revised “Prime Minister Exports Enhancement extends to the whole of Pakistan including export
Package” of incentives for textile sector exporters processing zones and shall come into force at once.
according to which 50% of the rate of drawback of The duty drawbacks under this order shall be allowed
local taxes and levies shall be provided without for exports GDs filed on or after the said dates in
condition of increment. July 2018.
The textile division of Pakistan has also notified that The Ministry of commerce and textile showed their
duty drawbacks under this order shall be allowed for commitment to increasing value addition through
exports goods declaration (GDs) filed on or after July Prime Minister “Trade Enhancement Package”
1st, 2017 to 30th June, 2018 at the rate of 7% for amounting to Rs 162 billion for the textile industry,
garments, 6% for made-ups, 5% for processed announced by the government. They told media that
fabrics, 4 % for greige fabric and yarn. Notification “We want to revive the confidence of the textile sector
further stated that in pursuance of entry 7 of item 39 through PM ‘Trade Enhancement Package’
of Schedule II of the Rules of Business, 1973, the amounting to Rs 162 billion for the textile industry.”
Prime Minister package of incentives for exporters
approved by Economic Coordination Committee In revised Prime Minister Package of incentives for
(ECC) of the Cabinet. exporters approved by Economic Coordination
Committee (ECC) of the cabinet in order to provide
ECC approved the incentives in order to provide duty duty drawback of taxes collected exporter units and
drawback of taxes collected from garments, home extends to whole Exports Processing Zones (EPZs) in
textiles, processed fabric, greige fabric and yarn the country. Senior official said that 50% of the rate of
manufacturing cum-exporter units. Duty drawback of drawback shall be provided without condition of
taxes order 2016-17, textile division makes the order, increment and remaining 50% of the drawback rates
namely: “Duty Drawback of Taxes Order 2017-18”. It shall be provided, if the exporter achieved an
extends to the whole of Pakistan including export increase of 10% in export during fiscal year 2017-18.
processing zones and shall come into force at once.
Senior official informed that Rs 946 million was
The notification issued also states that in pursuance allocated in Public Sector Development Program
of entry 7 of item 39 of Schedule II of the Rules of (PSDP) 2017-18 for three different projects in textile
Business, 1973, the Prime Minister package of sector. Further it was said that small incubator
incentives for exporters approved by Economic industry was also proposed for coming years Public
Coordination Committee (ECC) of the Cabinet. ECC Sector Development Program (PSDP) to persuade
approved the incentives in order to provide duty the young entrepreneur like Malaysia and Vietnam.
drawback of taxes collected from garments, home Speaking on the whole the PM packages seems to
textiles, processed fabric, greige fabric and yarn be implemented soon, though with some changes
manufacturing cum-exporter units. Duty drawback of but all for the good and revival of the textile sector of
taxes order 2016-17, textile division make the order, Pakistan, overall.

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