KARACHI: Towel Manufacturers Association of Pakistan (TMAP) has commended the decision of federal government to withdraw duty on import of cotton yarn.

In a statement on Saturday, TMAP appreciated the positive efforts of Prime Minister Imran Khan, Abdul Razzak Dawood, Adviser for Commerce, Textile, Industry & Production and Investment who presented the demand of the textile sector before the federal cabinet.

"Under the leadership of Imran Khan, the ECC accepted the demand and took a timely decision to allow duty-free import of cotton yarn which is the backbone of the textile sector," TMAP declared.

Feroze Alam Lari, Chairman TMAP urged the government that relaxation of customs duty on import of yarn should not be for the limited period and should continue until the textile sector has sufficient cotton yarn and our cotton production is more than its consumption in the country as it was in the past.

He also stressed government to put a comprehensive ban on export of cotton yarn which is the life line for the value-added textile industry and compulsory for the flourish of the economy of the country.

"If the government withdrew this relief after the short period, it would result in shortage of cotton yarn in the domestic market, ultimately the result will have an adverse effect on the price of cotton yarn as well as badly effect on the export of textile industry which has share more than 65% of the total country export," TMAP chairman stated.

Lari requested the government that all taxes and duties on import of cotton yarn should be eliminated on the long term basis to achieve competitiveness amongst the regional countries and for achieving targeted exports goal easily.

TMAP appreciated the government for taking lot of positive step timely to save the export industry from the total collapse i.e. refund stuck-up amounts of sales tax and duty drawback, provided concessionary tariff rate, reduced the rate of long term financing facility (LTFF), Temporary Economic Refinance Facility (TERF) and level playing field for the entire industry and frequently taken on board to business community for betterment of the economy and flourish of the all sectors of the country.

These positive steps of government for the floundering textile industries are able to get benefit and fulfill their export promise in the international market timely and are helpful to make their contribution to achieve the export target of the country set by the government, TMAP added.

Copyright Business Recorder, 2021

Comments

Comments are closed.