Pakistan lost opportunity to get big leather export order: PTA

Chairman Pakistan Tanners Association (PTA), Anjum Zafar has expressed with concern that Pakistan has lost a good opportunity to secure big leather sector export order owing to non applicability of incentive package announced by the prime minister in January this year.
He said that a total of 65 members of PTA participated in Asia Pacific leather fair held from 29th March to 31st March, 2017 at Hong Kong, ultimately lost export opportunity which could be in millions of US$ and certainly brought more negative impact on export of leather sector which is already declined at 6% for last 8 months from July 2016 to February 2017.
Anjum Zafar also shared the facts and said that due to non applicability of PM package our member exporters were in constraints and could not quote competitive prices and orders, hence lost to other major competitors/suppliers from countries like Brazil/Argentina/India/Bangladesh etc in general as well as next six months export orders booking have also been lost in particular.
Needless to reiterate here that the PM incentive package was finalized in detailed meeting held with governments official in Islamabad with harmony at 5% for finished tanned leather and accordingly PTA sent a letter dated 13.01.2017 to MOC well before time for inclusion of all relevant H.S codes in the SRO concerned for the incentive package announced by PM on 10.01.2017.
But when the SRO was issued bearing 62 dated 02.02.2017 instead, three most non-important HS codes were incorporated in the SRO which relate to hardly 1 or 2% of the industry, so resultantly our 98/99% manufacturers exporting finished tanned leather have not been able to get any benefit from the PM incentive package.
On PTA immediate intervention after issuance of SRO No 62(I)/2017, the MOC admitted its mistake and prepared summary duly approved by Secretary MOC and submitted to Ministry of Finance. The Chairman, PTA, Anjum Zafar regretfully informed that the matter of rectification for inclusion of 8 remaining HS codes is pending since more than two months and is now stuck at Finance Minister Office. Anjum Zafar on behalf of all country members appealed once again strongly to PM and Federal Minister to look into this long pending matter for final approval to the summary for inclusion of remaining all 8 HS codes without further delay and also look into other problems of huge pungency of rebate and sales tax claims which is causing severe liquidity issues to tanners.