Page 54 - July-August-2020

54 62 New T 63 55 for the installation of “testing equipment for harmful Pakistan for establishment of Special Economic akistan for establishment of Special Economic
New Textile Policy extile Policy
for the installation of “testing equipment for harmful
P
Zones (SEZs) along various routes of the
Zones (SEZs) along various routes of the
substances”.
substances”.
Reports Reports A way for • Manufacturing of textile machinery will be China-Pakistan Economic Corridor (CPEC). 46 akistan Economic Corridor (CPEC). 46
China-P
• Manufacturing of textile machinery will be
Special Economic Zones would be established at
Special Economic Zones would be established at
facilitated by the PTI Government with required
facilitated by the PTI Government with required
A way forwardward
41,715 acres of land across the country. As many as . As many as
inputs such as plastic, paper, polythene, etc. Joint , polythene, etc. Joint
inputs such as plastic, paper
41,715 acres of land across the country
17 industrial zones would be established in Khyber
ventures and investments will be encouraged to
ventures and investments will be encouraged to
17 industrial zones would be established in Khyber
P
establish textile machinery manufacturing or
establish textile machinery manufacturing or
Pakhtunkhwa, nine in Balochistan, seven in Sindh, akhtunkhwa, nine in Balochistan, seven in Sindh,
four in Punjab, two in Gilgit-Baltistan, one in erstwhile unjab, two in Gilgit-Baltistan, one in erstwhile
four in P
up-gradation of plants in Pakistan. Ventures bringing akistan. Ventures bringing
up-gradation of plants in P
Foreign Direct investment (FDI) will be supported by oreign Direct investment (FDI) will be supported by
F
Federally Administered Tribal Areas (FATA), four in ederally Administered Tribal Areas (FATA), four in
F
Azad Jammu and Kashmir (AJK) and two in Islamabad.
the PTI Government.
• Infrastructural improvisation will be made to
• Infrastructural improvisation will be made to
The newly elected government is energetically
The newly elected government is energetically doing business, combined effluent treatment plant, the PTI Government. Azad Jammu and Kashmir (AJK) and two in Islamabad.
doing business, combined effluent treatment plant,
existing industrial zones including Lahore,
existing industrial zones including Lahore,
The government has also announced an incentive
The government has also announced an incentive
working on a new textile package to increase revitalization of textile and garment cities, Faisalabad, Karachi, Multan and Sialkot for aisalabad, Karachi, Multan and Sialkot for package for investors for establishment of industrial
working on a new textile package to increase
revitalization of textile and garment cities,
F
package for investors for establishment of industrial
unnecessary import of textile goods, increase in
exports. This was disclosed by newly unnecessary import of textile goods, increase in maximum output. Steps will be taken to make these zones. According to documents, the incentive
exports. This was disclosed by newly-elected -elected
maximum output. Steps will be taken to make these
zones. According to documents, the incentive
parliamentarians, including Mr F
cotton yield and production of long staple cotton,
parliamentarians, including Mr Farrukh, Mr Habib, Mr arrukh, Mr Habib, Mr cotton yield and production of long staple cotton, zones fully operational and all issues being faced by package includes provision of land plot on
package includes provision of land plot on
zones fully operational and all issues being faced by
Raja Riaz Ahmed, Mr Khurram Shahzad, Mr Nawab SME development, pending liabilities, tariff the textile stakeholders will be addressed installments (50 percent down payment and
Raja Riaz Ahmed, Mr Khurram Shahzad, Mr Nawab
SME development, pending liabilities, tariff
the textile stakeholders will be addressed
installments (50 percent down payment and
Sher Waseer and Mr Faizullah Kamoka. They said, aseer and Mr Faizullah Kamoka. They said, rationalization and regulatory regime. transparently without any zone discrimination or remaining 50 percent in four biannual installments
rationalization and regulatory regime.
Sher W
remaining 50 percent in four biannual installments
transparently without any zone discrimination or
“We are duty bound to resolve issues being e are duty bound to resolve issues being prejudice. Multi fiber production based industries will basis), markup support at 50 percent of the markup
“W
basis), markup support at 50 percent of the markup
prejudice. Multi fiber production based industries will
confronted by the city in general and the business
APTMA spokesperson highlighted that the growing
confronted by the city in general and the business APTMA spokesperson highlighted that the growing be given special focus. (to a maximum of 5 percent) to be provided by
be given special focus.
(to a maximum of 5 percent) to be provided by
community in particular. We will make efforts in and . We will make efforts in and trade deficit can solely be met by fashioning an • T respective governments on the loans taken in
community in particular
trade deficit can solely be met by fashioning an
• Training courses of stitching, weaving, spinning raining courses of stitching, weaving, spinning
respective governments on the loans taken in
export led growth policy. Therefore, those advocating . Therefore, those advocating
outside the assemblies.” They said that the payment export led growth policy and ginning will be tailored to fulfill the textile industry P
outside the assemblies.” They said that the payment
Pakistani currency for financing the project, freight akistani currency for financing the project, freight
and ginning will be tailored to fulfill the textile industry
for the support of local industry don’t seem to be
of refund had been pending for the last many years for the support of local industry don’t seem to be needs and human skill development. Fashion design ashion design subsidy at 50 percent on the inland transportation of
of refund had been pending for the last many years
subsidy at 50 percent on the inland transportation of
needs and human skill development. F
the global leader. Allied industries which act as . Allied industries which act as
proposed gas price is USD 6.5/mmbtu and
and hopefully it would also be settled once for all by
and hopefully it would also be settled once for all by well-wishers of P the global leader proposed gas price is USD 6.5/mmbtu and institutes will be encouraged to introduce fashion plant and machinery for installation in/development
well-wishers of Pakistan as well as the government, akistan as well as the government,
plant and machinery for installation in/development
institutes will be encouraged to introduce fashion
electricity cost is USD 7.5 across the board.
supportive industries for the value added textiles will
December 2018.F
since the restoration of competitive advantage of the
December 2018.Furthermore, they also assured that urthermore, they also assured that since the restoration of competitive advantage of the supportive industries for the value added textiles will electricity cost is USD 7.5 across the board. brands in international markets. of any of the priority SEZ, one window operation, the , one window operation, the
of any of the priority SEZ
brands in international markets.
be treated as subsidiary export oriented industries.
• An unconditional five year extension of the current
the railway level crossing of the F export led industry must be regained, the share be treated as subsidiary export oriented industries. • An unconditional five year extension of the current • Marketing plans will be introduced by the PTI developer shall be allowed to purchase gas,
the railway level crossing of the Faisalabad Dry Port aisalabad Dry Port
export led industry must be regained, the share
• Marketing plans will be introduced by the PTI
developer shall be allowed to purchase gas,
The export sector cannot survive without
textile relief package (DL
T which has been long lost in the international The export sector cannot survive without textile relief package (DLTL).TL). Government through trade delegation in electricity and other utilities from utility providers in
Trust would be opened very soon. In this connection, rust would be opened very soon. In this connection,
which has been long lost in the international
Government through trade delegation in
electricity and other utilities from utility providers in
strengthening the allied industries. Steps will be
• An immediate release of all blocked refunds
Railways Minister Sheikh Rasheed will be invited to marketplace. The anti-export approach has already strengthening the allied industries. Steps will be • An immediate release of all blocked refunds P bulk and supply the same to the enterprises at rates
Railways Minister Sheikh Rasheed will be invited to
marketplace. The anti-export approach has already
bulk and supply the same to the enterprises at rates
Pakistan/Abroad, performance of commercial counselors, akistan/Abroad, performance of commercial counselors,
including Income T
taken to ensure that all required raw material/input is
visit Faisalabad as early as possible.aisalabad as early as possible. witnessed a decline in P taken to ensure that all required raw material/input is including Income Tax, Sales Tax and others in the ax, Sales Tax and others in the reform in PTAs and FTAs, made in Pakistan brand, As and FTAs, made in Pakistan brand, that are duly notified by Special Economic Zone
visit F
witnessed a decline in Pakistan’s exports to $20 akistan’s exports to $20
reform in PT
that are duly notified by Special Economic Zone
form of negotiable instruments or cash will be
produced or manufactured in Pakistan to the extent akistan to the extent
billion from $35 billion in 2016-17.
billion from $35 billion in 2016-17. produced or manufactured in P form of negotiable instruments or cash will be introducing eBay Authority (SEZA) in consultation with stakeholders,
introducing eBay, Amazon, Alibaba in Pakistan, , Amazon, Alibaba in Pakistan,
Authority (SEZA) in consultation with stakeholders,
ensured by the PTI Government. The refunds will be
of economic viability..
Textile division has identified three pressing export extile division has identified three pressing export
T of economic viability ensured by the PTI Government. The refunds will be engaging overseas Pakistan and visa facilitation.akistan and visa facilitation. a
and to reduce cost of setting up, the developer would nd to reduce cost of setting up, the developer would
engaging overseas P
cleared and for the future refunds will not be build up
• The product mix of Pakistan will be transitioned to akistan will be transitioned to
impediments which includes pending liabilities of Rs
impediments which includes pending liabilities of Rs The local industry can absorb the economic • The product mix of P cleared and for the future refunds will not be build up also be allowed to rent out sheds for industrial use
The local industry can absorb the economic
also be allowed to rent out sheds for industrial use..
to ensure industry liquidity as well.
match the current international preferences of value
115 billion with the F stringencies but the exporting industry which is match the current international preferences of value to ensure industry liquidity as well. Since the PTI Government has come into power it
115 billion with the Federal Board of Revenue (FBR), ederal Board of Revenue (FBR),
stringencies but the exporting industry which is
Since the PTI Government has come into power it
• New measures and steps to make the export
addition. In 2016, the increase in world fiber market
cost/ease of doing business and the levy of custom competing with the international competitors cannot. addition. In 2016, the increase in world fiber market • New measures and steps to make the export has paid Rs 25.7 billion to the textile sector under the F
cost/ease of doing business and the levy of custom
competing with the international competitors cannot.
Furthermore, Mr Iftikhar Ali Malik, Founder Chairman urthermore, Mr Iftikhar Ali Malik, Founder Chairman
has paid Rs 25.7 billion to the textile sector under the
oriented sector 100% zero rated since exporters are
consumption was 1.5% amounted to 99 million tons.
He has also urged the Govt. to steer the economy
duty on import of cotton for failing to achieve targets.
duty on import of cotton for failing to achieve targets. He has also urged the Govt. to steer the economy consumption was 1.5% amounted to 99 million tons. oriented sector 100% zero rated since exporters are first phase of Prime Minister’s Trade Enhancement rade Enhancement P
Pak-US Business Council, slammed the US decision ak-US Business Council, slammed the US decision
first phase of Prime Minister’s T
Oil-based fibers had the biggest share with 62.7%,
paying sales tax on value addition accessories and
According to the textile division the total liabilities out of woods with energetic participation of the Oil-based fibers had the biggest share with 62.7%, paying sales tax on value addition accessories and Package by June 30, 2018. Rs 2.6 billion were ackage by June 30, 2018. Rs 2.6 billion were to block 300 million dollars in aid said that P
According to the textile division the total liabilities
out of woods with energetic participation of the
to block 300 million dollars in aid said that Pakistan akistan
P
no refund is made.
cellulosic and protein based fibers consist of cotton
industrial associations so as to line the priorities. The
with FBR are around Rs 115 billion including Rs 45
with FBR are around Rs 115 billion including Rs 45 industrial associations so as to line the priorities. The cellulosic and protein based fibers consist of cotton no refund is made. disbursed to the textile sector in first two months needs immediate direct access to US markets and
needs immediate direct access to US markets and
disbursed to the textile sector in first two months
(approximately 24.3%), wood based cellulose fibers
• The State Bank of Pakistan will regulate currency akistan will regulate currency
export industry associations should be leading the
billion sales tax, Rs 9.22 billion custom duty export industry associations should be leading the (approximately 24.3%), wood based cellulose fibers • The State Bank of P during Phase II from July 1 to August 31. The not aid as it has suffered irreparable colossal
billion sales tax, Rs 9.22 billion custom duty
during Phase II from July 1 to August 31. The
not aid as it has suffered irreparable colossal
(approximately 6.6%, other natural fibers
based on economic fundamentals and not by
proposed Business Advisory Council in order to
drawback, Rs 25 billion PM package, Rs 32 billion to proposed Business Advisory Council in order to (approximately 6.6%, other natural fibers based on economic fundamentals and not by government has also given relaxation on the import financial loss for playing frontline role in the war on
drawback, Rs 25 billion PM package, Rs 32 billion to
government has also given relaxation on the import
financial loss for playing frontline role in the war on
(approximately 5.3%) and wool (approximately 1.1%).
finance ministry based on political parameters. The
implement textile policy 2009-14 and Rs 3 billion
implement textile policy 2009-14 and Rs 3 billion encourage new investment and enhance exports. He (approximately 5.3%) and wool (approximately 1.1%). finance ministry based on political parameters. The of textile machinery for the modernization of industry terror and US must support P
encourage new investment and enhance exports. He
terror and US must support Pakistan to achieve its akistan to achieve its
of textile machinery for the modernization of industry
direct shipment model will be supported.
• Special focus will be given to ensure continuity of
textile policy 2014-19.
textile policy 2014-19. also mentioned that the Business Advisory Board • Special focus will be given to ensure continuity of direct shipment model will be supported. and to enhance the capacity of the sector. The . The economic prosperity and self-reliance.-reliance.
also mentioned that the Business Advisory Board
and to enhance the capacity of the sector
economic prosperity and self
Generalized System of Preferences (GSP) plus
• Despite existing research institutes, the average
ought to be chaired by the prime minister on Generalized System of Preferences (GSP) plus • Despite existing research institutes, the average government has given priority to facilitating the textile
ought to be chaired by the prime minister on
government has given priority to facilitating the textile
status of Pakistan Lobbying in the EU will be akistan Lobbying in the EU will be
yield of cotton crop is dropping. Research and
T quarterly basis to oversee the decision status of P yield of cotton crop is dropping. Research and sector and helping it gain competitiveness in order Mr Iftikhar Ali Malik said, “T
Textile division has proposed the payment of extile division has proposed the payment of
quarterly basis to oversee the decision
Mr Iftikhar Ali Malik said, “To win the war in o win the war in
sector and helping it gain competitiveness in order
strengthened by foreign missions with the help of
development will be enhanced in the cotton sector to
pending liabilities, incentivizing investment in
pending liabilities, incentivizing investment in implementation and for performance reviews. strengthened by foreign missions with the help of development will be enhanced in the cotton sector to to enhance the country’s exports. The Ministry is Afghanistan, America needs Pakistan for supply akistan for supply
implementation and for performance reviews.
Afghanistan, America needs P
to enhance the country’s exports. The Ministry is
trade regulatory authorities in Pakistan. Social akistan. Social
introduce genetically modified seeds, production of
machinery for export led industry
machinery for export led industry, export , export trade regulatory authorities in P introduce genetically modified seeds, production of offering multiple training courses to focusing on routes as well as to negotiate a lasting settlement
offering multiple training courses to focusing on
routes as well as to negotiate a lasting settlement
organic cotton will be encouraged as well as
compliance is the major factor of GSP Plus status.
For the development of the Pakistan textile sector, or the development of the Pakistan textile sector,
diversification, import substitution, special rates for
diversification, import substitution, special rates for F compliance is the major factor of GSP Plus status. organic cotton will be encouraged as well as different areas of textile sector to enhance the and peace in Afghanistan. The relationship between
and peace in Afghanistan. The relationship between
different areas of textile sector to enhance the
Strict action will be taken to ensure
assurance of qualitative and certified pesticides and
P
SMEs specially for ginning, power loom, garment
SMEs specially for ginning, power loom, garment Pakistan. Mr Zafar Iqbal Sarwar from, PTI akistan. Mr Zafar Iqbal Sarwar from, PTI Strict action will be taken to ensure assurance of qualitative and certified pesticides and capacity of its workers. Garments, fashion, apparel the U.S. and Pakistan could worsen further, if the .S. and Pakistan could worsen further, if the
the U
capacity of its workers. Garments, fashion, apparel
waste/environmental technologies and enforcement
it will be ensured that the right prices are paid to the
Government has come up with its textile policy which
stitching and facilitation for international business
stitching and facilitation for international business Government has come up with its textile policy which waste/environmental technologies and enforcement it will be ensured that the right prices are paid to the design, cutting for lingerie making, line supervisory T
Trump Administration follows the decision to cut off rump Administration follows the decision to cut off
design, cutting for lingerie making, line supervisory
farmers.
of social compliant laws. Furthermore, public private urthermore, public private
linkages and JVs.
linkages and JVs. covers most issues regarding industry growth and of social compliant laws. F farmers. skills and knitting machine operators training are the aid to Pakistan.” He further added that the USA akistan.” He further added that the USA
covers most issues regarding industry growth and
aid to P
skills and knitting machine operators training are the
• F
partnership will be encouraged.
country exports. partnership will be encouraged. • Facilitative structure such as the international acilitative structure such as the international areas of these capacity building courses. The should remove the bottlenecks in bilateral
country exports.
areas of these capacity building courses. The
should remove the bottlenecks in bilateral
accredited labs will be encouraged to bring their
• Reduced cost of production by decreasing energy
T
Textile division enlisted many reasons for not extile division enlisted many reasons for not • Reduced cost of production by decreasing energy accredited labs will be encouraged to bring their training program’s main objective is provision of investment treaty and efforts should now be made
investment treaty and efforts should now be made
training program’s main objective is provision of
100% testing facilities to P
costs including electricity and gas. The policy will
Key F
achieving the targets including lack of skills
achieving the targets including lack of skills Key Features of the Proposed Textile Policyeatures of the Proposed Textile Policy costs including electricity and gas. The policy will 100% testing facilities to Pakistan and sustainability akistan and sustainability skilled workforce to make textile industry more on signing a free trade agreement (F
skilled workforce to make textile industry more
on signing a free trade agreement (FTA) at the TA) at the
F
align the price of gas and electricity provided to the
will be promoted.
development, infrastructure, product and market Following are the key points of the policy:ollowing are the key points of the policy: align the price of gas and electricity provided to the will be promoted. competitive. earliest and it was now imperative that the USA
development, infrastructure, product and market
competitive.
earliest and it was now imperative that the USA
industry, with the price paid by regional competitors , with the price paid by regional competitors
• Improvisation of the textile sector of P
• Europe is diverting to Green Product Procurement
diversification, compliance, cotton standards, cluster • Improvisation of the textile sector of Pakistan by akistan by industry • Europe is diverting to Green Product Procurement should offer same package and incentives which it
diversification, compliance, cotton standards, cluster
should offer same package and incentives which it
to provide the industry a level playing field. The
increasing the value-added exports and becoming
(GPP). Special focus in P
development, cost of doing business & ease of increasing the value-added exports and becoming to provide the industry a level playing field. The (GPP). Special focus in Pakistan will also be given akistan will also be given Special Economic Zones offered to Bangladesh and Sri Lanka in textile exports,
development, cost of doing business & ease of
Special Economic Zones
offered to Bangladesh and Sri Lanka in textile exports,
A total of 46 potential sites have been identified in
A total of 46 potential sites have been identified in such as duty concessions and market access.
such as duty concessions and market access.
July/August 2020 July/
August/September 2018
August/September 2018August 2020