Garment exporters seek release of money

KARACHI:

Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) Zonal Chairman Mohammad Jawed Chinoy has said that over Rs1.5 billion, released by the finance ministry last month on account of duty drawback, is still stuck with the State Bank of Pakistan (SBP).

In a statement on Monday, the PRGMEA official expressed concern that the textile sector, already under pressure due to financial crunch, is being overlooked by government departments like the Ministry of Textile Industry (Mintex).

The State Bank has sought clarifications from the ministry in order to disburse the amount but after the departure of textile industry minister Rana Mohammad Farooq Saeed Khan. “Nothing is being properly handled by the ministry and the textile sector badly needs a ministry to be active again,” said Chinoy.

SBP should realise the problems exporters are facing, with cotton prices hitting an all-time high, he said, adding the central bank should immediately sort out the problems and start paying duty refund to exporters.

Published in The Express Tribune, March 15^th, 2011.