Home / Knowledge / News / Textiles / PCGA protests withholding tax, halts buying of seed-cotton
PCGA protests withholding tax, halts buying of seed-cotton
Aug '11
Protesting against the imposition of 3.5 percent withholding tax (WHT) on agents, the Pakistan Cotton Ginners Association (PCGA) has stopped purchasing seed-cotton (phutti) from Saturday.

Officiating a general body meeting, PCGA Chairman Masood A Majeed stated that in spite of the Government's statement that it has not levied any tax on the farmers, the fact is otherwise.

According to Mr. Majeed, the levy of withholding tax on middlemen and agents is indirectly a tax on the farmers, as the middlemen or agents are not going to bear this tax themselves but would pass on the same to farmers.

He said that the cotton ginners in Pakistan have launched a protest against such tax imposition, as it is not possible for ginners to pass on the tax burden to agents nor is it possible for them to deposit the amount in banks on a daily basis.

He further said that the country has harvested plentiful crop after two decades and the gains so reaped should reach all stakeholders, especially farmers.

He said that the PCGA disapproves the often changing tax strategies and urged the Government to evolve a tax policy which would be effective for a minimum of five years.

The PCGA Chairman stated that it is the business right of the ginners to decline to accept or buy phutti, which may prove troublesome for them. By their act, the ginners are conveying their complaint against the Government's unfair decision, he added.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 25th Mar 2017

GST to positively impact retail value chain: CBRE

The implementation of the Goods and Services Tax (GST) bill in India...

Textiles | On 25th Mar 2017

MEGlobal to build first ever US MEG plant

Monoethylene glycol (MEG) producer MEGlobal plans to construct a new...

Courtesy: Ulster Carpet

Textiles | On 25th Mar 2017

Ulster Carpets acquires Griffith Textile Machines

Northern Ireland based manufacturer of carpets, Ulster Carpets said...

Interviews View All

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

C. Dhandayuthapani
Mag Solvics Pvt. Ltd

ITME 2016 exploited our full strength like never before

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Rupa Sood and Sharan Apparao

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Subscribe today and get the latest News update in your mail box.
Advanced Search