Govt hands over cotton export matters to State Bank
- Previously Trade Development Authority of Pakistan handled the sector
ISLAMABAD: The Federal Government has handed over cotton export matters to State Bank of Pakistan from Trade Development Authority of Pakistan.
READ MORE: Weekly Cotton Review: Market stable amid subdued business activity
In this regard, Ministry of Commerce has issued S.R.O. 2486(1)/2025, saying that in exercise of the powers conferred by sub-section (1) of Section 3 of the Imports and Exports (Control) Act, 1950 (of 1950), the Federal Government has directed that the following further amendments shall be made in the Export Policy Order, 2022, namely:
In the aforesaid Order, be substituted, namely:-
Sr. No. 9, in column (4), the following shall “(i) security deposit of 1% of the contract value with the State Bank of Pakistan and presentation of confirmation letter issued by the State Bank for the same before customs authorities along with shipping documents and ; (ii) an irrevocable letter of credit shall be opened by the buyers and the shipment of contracted quantity shall be completed within one hundred and eighty days thereof. In case of non-performance of contract within stipulated time, the security deposit shall be forfeited by the State Bank of Pakistan proportionate to the quantity not shipped”.
Copyright Business Recorder, 2025
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