The Regional President of International Apparel Federation (IAF) and Chief Coordinator Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) Ijaz A. Khokhar on Sunday said that trade and commerce activities were adversely affected by the Covid-19 in the country. The life style and economic scenario had totally been changed due to Covid-19 globally and its impact on industrial sector is now visible in the country he said.
Under the prevailing situation there was a need of formulation of drastic polices for the survival of export sector of the country he said. Talking to Business Recorder on Sunday he suggested that government should consider on the revival of zero rated regime for the survival of exports of the country. It is high time that government should announce previous system "No Payment No Refund" to save export sector o the country he said.
Ijaz further said at this critical juncture we were direly needed an economy stimulus plan coupled with relief package by the government to ensure the continuity of production he said. He foresees that thousands of SMEs might close down their business within next few months because of downfall in county's exports and foreign exchange earnings resulting in unemployment of hundreds of thousands of workers, as only textile sector earns 60 percent of total exports in the country. The business community was facing serious hardship because of limited business as most of orders have been cancelled or put on hold he pointed out. We suggest that government should formulate a plan by taking all stakeholders on board for protecting export sector of the country which is under certain threats he said.
He said that there was a great need of formulating long term and short term plans to cope with the current situation adding that government should focus on formulating sector wise and regional policies for boosting the exports of the country. Under the circumstances government should focus attention of establishing regional, provincial and central level task force and formulation of sector wise and regional policies which would help the government not only in resolve the problems confronted by the exporters but also their needs he said.
The Regional President of International Apparel Federation (IAF) further stated that government should announced "Question Free Investment" and tax holiday to meet the new product line and government should allow import of raw material and accessories duty free.
This wills he said encourage investment in setting up new industries in the country which will create wide opportunities of gender employment. Ijaz said that dyes and chemicals used in textile industry are not produced in Pakistan and government should allow zero rated import to facilitate the business community engaged with the textile industry. Special funds out Export Development Fund (EDF) should be allocated for Research and Development in accordance with the concerned industrial sectors for bringing innovation and to improve the standard of products to cope with challenges of global market he said.
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