“Recommend Federal Finance Ministry to relax the textile sector from heavy burden of taxes”, Senior Vice President of Karachi Chamber of Commerce and Industry (KCCI), put in a request to Mr. Rasheed-ud-din Rashid to the Federal Secretary of Commerce.
High production costs due to the towering tariffs of gas and power affected the exports of textile products, which are the key items which bring foreign exchange into the country and has 60 percent share in country's total export, said Mr. Rashid.
These high operational costs curb the competence of exporters in international market. Uneven power and gas supply to the export oriented industry and high tariffs elevate the manufacturing cost resulting into the unrest and discontentment in industry entrepreneurs, which may result in companies shifting operations to other countries like Bangladesh, he stated.
In order to safeguard the domestic export industry, some benchmarks should be set for the exports of indigenous products and raw materials, he opined.
Since past few years, Pakistan has been going through harsh situations under which it has been witnessing dearth of raw materials, which at one time it used to export. Now, the country has to import those products at higher prices, he lamented.
Fibre2fashion News Desk - India