Back in August 2020, the export numbers were somewhere around $1.6 billion whereas the numbers recorded in December 2020 was $2.4 billion and this was only done due to the trade facilitation strategy designed and executed by The Federal Board of Revenue (FBR).
This strategy crafted by the FBR contributed in the removal of regulatory duties on more than 160 items were not being manufactured in the country but were still relevant to the textile sector. Moreover, import duties on 1,623 tariff lines, pertaining to basic raw materials and intermediate goods were reduced to zero through the Finance Act, 2020.
“All these measures were undertaken with the objectives of neutralising adverse impact of COVID-19 pandemic, especially for the exporters, and to make their products competitive vis-à-vis those of their competitors in the international market,” the FBR stated.
Three actions were implemented. Extension in utilisation period of different export facilitation schemes was allowed for a period of one year from 1 March, 2020 to 28 February, 2021. Secondly, retention period for plant and machinery, under the export-oriented units’ scheme, was reduced from 10 years to five years. Thirdly, for the prompt redressal of grievances, one administrative tier is reduced and regulatory authority is created to facilitate the exporters.
“To realise the objective of facilitation/promotion of exports, an automated system of filing the claim to the final sanctioning of duty drawback claims for the payment of duty drawback claims to the exporter was rolled out on 1 October,” said the FBR.
