Cabinet ratifies decision of customs duty withdrawal on cotton yarn import

The federal cabinet has ratified the decision of the Economic Coordination Committee (ECC) to withdraw customs duty on the import of cotton yarn.

“In line with our policy to encourage value-added exports, the cabinet, in its meeting today, ratified the decision of ECC to withdraw customs duty on import of cotton yarn,” said Advisor to Prime Minister on Trade and Investment Abdul Razak Dawood. “The notification will be issued in a few days,” said the advisor.

Days ago, the ECC withdrew customs duty on the import of cotton yarns, in order to facilitate the value-added exporters.

“Pleased to inform that on a summary moved by Ministry of Commerce, ECC has withdrawn customs duty on import of cotton yarns to facilitate the Value-Added exporters. This will be notified with the approval of the cabinet,” informed Dawood in a tweet post on Wednesday.

It is pertinent to mention that regulatory duty was already withdrawn in December 2020 on the recommendation of the commerce ministry. “Now the value-added manufacturers and exporters can import cotton yarns at 0% customs duty,” added Dawood.