KARACHI: A high-level delegation of the Towel Manufacturers’ Association of Pakistan (TMA), led by its Patron-in-Chief, Feroze Alam Lari, and Chairman, Rehan Mehtab Chawla, met with the Chairman, Federal Board of Revenue (FBR), Rashid Mahmood Langrial, on November 4, at Governor House, Karachi, in the presence of Governor of Sindh, Syed Muhammad Nehal Hashmi.
The meeting provided an important opportunity for TMA to highlight key taxation and regulatory challenges confronting Pakistan’s export-oriented industries, particularly the towel and textile sector, and seek the FBR’s intervention for their timely resolution.
During the meeting, the delegation comprehensively presented the key issues affecting exporters’ operations, liquidity and business sustainability. These included the accumulation and delayed disbursement of outstanding sales tax refunds and duty drawback claims, anomalies and procedural complications under the prevailing sales tax regime, difficulties relating to deferred and carried-forward tax adjustments, and concerns regarding tax compliance and audit procedures.
The delegation emphasized that delays in refunds and unresolved tax-related matters place considerable financial pressure on export-oriented businesses, adversely affecting working capital, production cycles and their ability to compete in international markets.
The delegation further stressed the importance of introducing practical, transparent and business-friendly tax measures to improve the ease of doing business, facilitate exporters and strengthen Pakistan’s export competitiveness. In this regard, particular emphasis was placed on the restoration of the zero-rating regime under SRO 1125(I)/2011 for the five major export-oriented sectors. It was highlighted that the restoration of this facility would help address liquidity constraints, minimize the accumulation of sales tax refunds, reduce unnecessary financial and administrative burdens and provide a more predictable and supportive tax environment for exporters.
A particularly important outcome of the meeting was the positive response of the Chairman FBR to the concerns raised by TMA, with a specific assurance that the issues relating to the blacklisting of exporters would be resolved.
Recognizing the serious implications of such cases for exporters’ business operations and continuity, the Chairman FBR also designated a Member of FBR (Inland Revenue) to directly coordinate with TMA and facilitate the resolution of its members’ issues, particularly those concerning the suspension and blacklisting of exporters, as well as pending sales tax refunds and other refund-related matters. This initiative is expected to establish an effective channel of coordination with the FBR and expedite the resolution of outstanding issues affecting the export community.
The TMA delegation highly appreciated the constructive engagement and positive response of the Chairman FBR, particularly his attention to the issue of exporters’ blacklisting and his decision to nominate a senior FBR representative for direct coordination with the Association. The delegation also expressed its sincere gratitude to the Honourable Governor of Sindh for his valuable facilitation in arranging the interaction and providing an opportunity for the industry to present its concerns directly to the FBR leadership.
TMA acknowledged the keen interest demonstrated by the Governor of Sindh and the Chairman FBR in addressing the challenges faced by exporters and supporting the growth of Pakistan’s export sector.
The Association observed that a facilitative taxation framework, timely settlement of exporters’ legitimate claims and prompt resolution of regulatory issues are essential not only for the sustainability and expansion of export-oriented industries but also for strengthening foreign exchange earnings, generating employment and contributing to the overall growth of the national economy.
The Association expressed the hope that the positive understanding and commitments reached during the meeting would translate into concrete and timely measures, providing meaningful relief to exporters and fostering a more facilitative, predictable and competitive business environment for Pakistan’s export-oriented industries.
Copyright Business Recorder, 2026
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