FCCI urges government to release funds for textile industry
Mian Zahid Aslam, President Faisalabad Chamber of Commerce & Industry (FCCI) has said billions of refund claims in the context of Duty Drawbacks, Sales Tax and R&D are pended with the government. The exporters are facing severe liquidity crunch to fulfil their export orders particularly at this critical stage when exports under EU Autonomous Trade Preference Scheme (ATPS) have also been allowed.
Copyright Business Recorder, 2012
Referring to a news item, he pointed out that government earmarked Rs 7.5 billion in budget 2012-13 for implementation of Textile Policy (2009-14) but not a single penny has been released to the ministry in the first quarter of the year undermining the effectiveness of policy initiatives.
This will not only result into causing resentment among the industry but also hampering different schemes under the textile policy including Textile Investment Support Fund, Drawbacks of Local Taxes, Refund of R&D claims etc. He urged the government for earliest release of funds to the ministry consequent upon mobilisation of refund claims to the exporters to excel exports from the country.