APTMA makes Major Demand from Govt for 5 Years
Lahore: All Pakistan Textile Mills Association (APTMA) makes a huge demand from the government for five years.
According to reports, the Chairman APTMA, Punjab Zone, Adil Bashir, has demanded that the government should immediately announce a five years export policy and also end uncertainty regarding a long-term export policy.
He also demanded that the government should provide inexpensive electricity and gas to the export sector in order to boost exports.
Commenting on the Budget 2020-2021, he remarked that they had expected a 5% sales tax on the export industry. He said that reducing the sales tax rate would have brought the unregulated sector under the tax net as well. He said that in order to solve the investment problem, the government should have brought to zero the rate for the export industry.
He also said that the turnover tax for the export industry was expected to have been at 0.75% instead of 1.25%. He said a lower turnover tax would have made the industry more competitive.
He demanded that the energy package for the textile industry should be continued into this fiscal year and electricity and gas supply should continue at 5-7 cents per unit and $5-6 per MMBtu. Adil Bashir said that textile exports increased by 32% in the previous fiscal year due to the energy package.
He said that due to the corona virus the retail companies in America and Europe are nearing bankruptcy and those that have escaped bankruptcy are demanding 30% discounted rates. He said that due to this virus, there has been a worldwide decrease in textile goods, and it is difficult to predict the future under these conditions.
Chairman APTMA Punjab further observed that increasing exports will also help Pakistan in getting rid of external debt. He said the government itself has always talked about boosting exports. He said that supporting the textile sector will help in increasing investment and jobs and ending uncertainty.
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