By 15th of August this year, the textile sector would receive Rs15 billion as incentives under the Rs180 billion worth of export package, said officials on 3rd August 2017.
A senior official from the textile ministry said that; “With the complete implementation of the package, incentives worth Rs162 billion will be extended for the modernisation and development of the textile sector.” He further added that; “Textile industry will be paid Rs162 billion out of the Rs180 billion package, which is effective for 18 months starting from January 2017 to June 2018.”
He also told that the government has planned to enhance the capacity of textile sector in Pakistan and has also given relaxation on the import of textile related machinery. It was also said that via this package the cost of doing business will be lowered and will then lead to a further boost in commercial and trade related activities.
The official, while speaking on the occasion also said that; “We are working on the implementation of textile policy 2014/15 in true spirit with an aim to provide maximum benefit to the industrial sector,”
While sharing his views, the acting chairman of APTMA, Mr Zahid Mazhar said that; “The industry is facing severe liquidity crunch due to delay in payment of their sales tax refunds and further delay will lead to disastrous consequences.”
The government guaranteed to clear the payments against the RPOs (refund pay orders) with amount more than Rs1 million by August 14. Previously it has cleared the RPOs of up to one million rupees against 6,853 RPOs issued by the end of April this year.
Mazhar said the high cost of energy has hit the textile industry as gas and electricity tariffs in Pakistan are around 30 percent higher compared with regional countries, rendering Pakistan’s exports uncompetitive in the global market. While congratulating the new acting Prime Minister he showed hope of hearing some impressive decisions from the government to support the textile industry in Pakistan. Source: The News
