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The Karachi Chamber of Commerce and Industry (KCCI) has recommended that the import of viscose rayon filament yarn from India be allowed in forthcoming trade policy for 2004-05.
In a communication to the federal commerce minister the recent development in the Indo-Pak political scenario is a positive indication towards betterment in the relations of both the countries.
Under the Trade Policy 2003-04, viscose rayon filament yarn under HS Code No 5403.3100 is not allowed to be imported from India. Hence, it is pertinent to mention that this commodity is not manufactured in Pakistan, and in order to fulfil the demand of indigenous industry the very same product is being imported illegally from India through third countries.
The KCCI also suggested that a free import of cotton waste should also be allowed in new trade policy to reduce the cost of towel yarn produced by cotton yarn of open-end spinning mills.
The Karachi Chamber noted that this would boost export of towels.
The KCCI also suggested that the anomaly in the Import Policy 2003-04 be removed in forthcoming trade policy, and the import of steel sheets irrespective of size be allowed.
It pointed out that under the Trade and Procedure Order 2003-04, the import of secondary material waste with a minimum size restricted of 20 inches in width and 48 inches in length are allowed, saying the same cannot be maintained as the sheets of size 20 inches in width and 48 inches in length cannot be excluded from the ambit of secondary and sub-standard quality of iron and steel.
It will not be out of place to mention that the steel sheets of sizes below 20 inches in width and 48 inches in length are not banned. There is no size restrictions regarding the imports of prime quality steel sheets, and even in the secondary, quality tin-plates and stainless steel of these sizes can be imported.
Apart from that, the importer suffers losses in addition to the fine penalty imposed by the customs, and mental torture in seeking clearance from the customs for such type of steel sheets.
The Chamber noted that electric, gas steam generators (small boilers) which are not manufactured locally, are exclusively used with high-tech industrial steam irons in export-oriented industries. The customs duty on these generators is at the highest side.
It suggested that the duty on electric steam generators be brought down to 5 percent.

Copyright Business Recorder, 2004

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