Home / Knowledge / News / Textiles / Budget devoid of incentives for yarn, textile and ginning firms
Budget devoid of incentives for yarn, textile and ginning firms
08
Jun '10
As against the promise that, the Prime Minister, Yousaf Raza Gilani, had made to the yarn, textiles and ginning sectors, for a specific budget for them, during the announcement of the federal budget, the government has failed to carry out the same.

Associations such as the All Pakistan Textile Mills Association (APTMA), Pakistan Yarn Merchants Association (PYMA) and Pakistan Cotton Ginners Association (PCGA), have expressed disappointment on government's failure to provide relief to these sectors.

According to spokesperson, for all the above bodies, Shakeel Ahmad, PM Gilani had promised APTMA, PYMA and PCGA, during a meeting, to bring about a solution for their problems.

Following multiparty meeting of these bodies, letters have been sent to the PM, the Textile Minister, Rana Farooq, National Assembly Standing Committee on Textile and the State Minister on Finance, Hina Rabbani Khar, to rethink on the promises, which were made during the PM's meet with the associations.

As per the meeting with the PM, it was decided that the Regulatory Duty imposition on yarn exports would be reduced to 7 to 8 percent from the current 15 percent and for the 2010-11 financial year, the Textile Committee would further reduce it to 5 percent, informed Ahmad.

More so, during the meeting, it was also discussed that, the Withholding Tax (WHT) will not be increased, but in the federal budget declared for 2010-11, the Finance Minister has announced a surge of 1 percent to settle WHT at 5 percent. This kind of a complete u-turn from the promises made was not expected by the association, averred Ahmad.

Following the imposition of 15 percent Regulatory Duty on exports of yarn, the global cost of yarn floated between 83-84 cents per pound. But with a rise of WHT, yarn prices are likely to come in a range of 96-97 cents per pound in the global markets.

Ahmad added that, at this rate, it would be difficult for the Pakistani yarn exporters to continue with the overseas sales of yarn, as their global price uniformity has vanished.

To this adds, Shabir Ahmed, Chairman, Pakistan Bedwear Exporters Association (PBEA), that, it was for the first time, that the federal budget was declared without any incentives for the sectors to promote exports.

More so, the growing number of unemployment amongst youth is also in danger, as the budget lacks incentives for industrialization and promotion of business actions in the country.

Fibre2Fashion News Desk - India


Must ReadView All

Courtesy: Kai Pilger from Pexels

Apparel/Garments | On 26th Apr 2018

FOBAP in the Philippines trying for garments sector revival

The Foreign Buyers Association of the Philippines (FOBAP), a body...

German investors keen to invest in Pakistan: top official

Textiles | On 26th Apr 2018

German investors keen to invest in Pakistan: top official

A German traders delegation will soon visit Pakistan to explore...

Courtesy: Uster

Textiles | On 26th Apr 2018

Uster Technologies acquires Elbit Vision Systems

Uster Technologies has announced the successful closure of the...

Interviews View All

Smith Vaghasia
Sanado India

Online remains the best destination for shopping

Ghanshyam Ghoghari
Kimora Fashion

Bridalwear is not about reds and whites anymore

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Harsh Shah

Fynd is the central online shopping destination for fashion, offering...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Paolo Ocleppo
Sandvik Hyperion

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

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

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

Leave your Comments


April 2018

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search