Home / Knowledge / News / Textiles / Delayed tax refunds trouble Pakistan textile exporters
Delayed tax refunds trouble Pakistan textile exporters
06
May '13
Textile exporters in Pakistan are experiencing severe financial crisis as much of their money is blocked with different Government departments, which are delaying refunds for sales tax, customs, local taxes and federal excise duty, Asghar Ali, chairman and Muhammad Asif, vice chairman of Pakistan Textile Exporters Association (PTEA), has said.
 
The blockage of funds is badly hitting the Pakistani textile industry, particularly at a time when many key industry players have invested large sums for infrastructure upgradation and capacity expansion, to cater to rising export demand, the duo told reporters. 
 
The textile export sector, contributing over US$ 13 billion to the country’s economy each year, is in despair, as textile exports are waning and the industry is crumbling, due to lack of funds, the PTEA officials said.
 
The blocked amount would otherwise have been used by the exporters for business expansion, which in turn would have boosted the country’s export earnings, they added.
 
In addition, severe energy crisis is continuing to affect the operations of textile export units, ultimately resulting in a production loss.
 
Meanwhile, Mr. Asif said continuously rising cost of inputs is also troubling the exporters, rendering them uncompetitive in global market.
 
Mr. Ali said as textile exports are waning, it is causing several small units to shut shops rendering several workers jobless.
 
Pakistan’s textile sector exports, which stood at US$ 12.3 billion during last fiscal, were expected to rise to US$ 15 billion this fiscal, however, now it seems difficult to achieve this target in view of lack of funds, he added.
 
The duo urged the Government to come forward and help the textile sector exports to rise above the crisis, by removing hurdles and initiating steps to boost exports. 
 
They also called for speedy release of the sums blocked under customs rebate, SED refund, DLTL and sales tax refunds, so as to enable textile exporters to sustain their presence in global markets, in these times of tough competition.
 

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 7th Dec 2016

New Texprocil chairman bats for increased UPI adoption

Ujwal Lahoti, the new Cotton Textile Export Promotion Council...

RBI Governor Urjit Patel addressing a press conference. Courtesy: Youtube

Textiles | On 7th Dec 2016

Defying expectations, RBI keeps repo rate unchanged

Defying market expectations, the Monetary Policy Committee (MPC) of...

The new OJ 59/1 B. Courtesy: Karl Mayer

Textiles | On 7th Dec 2016

Karl Mayer unveils new LACE.EXPRESS model for apparel

Germany’s leading textile machinery firm, Karl Mayer, has launched a...

Interviews View All

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

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

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Vidhyaa Shankar. S
A Ganapathi Chettiar

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

Marcel Alberts
Eurofibers

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

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ashok Desai
Bombay Textile Research Association

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

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Rupa Sood and Sharan Apparao
Nayaab

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

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search