NA textile body recommends continuation of regulatory duty
ISLAMABAD:
The National Assembly Standing Committee on Textile has recommended to the government that it continue the 15 per cent regulatory duty (RD) on cotton yarn exports indefinitely.
The government plans to discontinue the duty after its deadline expires on July 12 this year.
The panel argued that the government should continue it in order to save the value added textile sector as the international market will be facing a 21 percent shortage during the next season.
Federal Minister for Textile Industry Rana Muhammad Farooq Saeed Khan, who was also present during the meeting, informed the committee that imposition of the 15 per cent RD on yarn export had stabilized prices in the domestic market.
Khan said that there were no concrete plans to continue it beyond its initial deadline.
The members have asked Khan to continue the duty to ensure availability of yarn for the local industry.
The committee also recommends that the government to make sure that all the major commercial banks extend financial assistance to the sick industrial units in textile sector.
The committee criticized the All Pakistan Textile Mills Association (APTMA) for levelling corruption charges against the federal minister and sought an explanation in this regard.
Khan had earlier apprised the panel that he had invited the representatives of APTMA who called on him on May 19 and presented their problems.
APTMA’s office bearers were of the view that yarn be excluded from the regulatory duty and its rate should be lowered from 15 per cent.
The committee was chaired by Haji Muhammad Akram Ansari.
Published in the Express Tribune, June 3rd, 2010.
The National Assembly Standing Committee on Textile has recommended to the government that it continue the 15 per cent regulatory duty (RD) on cotton yarn exports indefinitely.
The government plans to discontinue the duty after its deadline expires on July 12 this year.
The panel argued that the government should continue it in order to save the value added textile sector as the international market will be facing a 21 percent shortage during the next season.
Federal Minister for Textile Industry Rana Muhammad Farooq Saeed Khan, who was also present during the meeting, informed the committee that imposition of the 15 per cent RD on yarn export had stabilized prices in the domestic market.
Khan said that there were no concrete plans to continue it beyond its initial deadline.
The members have asked Khan to continue the duty to ensure availability of yarn for the local industry.
The committee also recommends that the government to make sure that all the major commercial banks extend financial assistance to the sick industrial units in textile sector.
The committee criticized the All Pakistan Textile Mills Association (APTMA) for levelling corruption charges against the federal minister and sought an explanation in this regard.
Khan had earlier apprised the panel that he had invited the representatives of APTMA who called on him on May 19 and presented their problems.
APTMA’s office bearers were of the view that yarn be excluded from the regulatory duty and its rate should be lowered from 15 per cent.
The committee was chaired by Haji Muhammad Akram Ansari.
Published in the Express Tribune, June 3rd, 2010.