S Lanka withdraws increase in levy on kinnow

Reduces cess rate to Rs30 per kg from Rs160 per kg


Our Correspondent December 19, 2020

KARACHI:

The government of Sri Lanka has withdrawn its decision to increase the cess on Pakistani kinnow after Pakistan’s High Commission in Colombo approached the authorities concerned in the island nation.

On the directives of adviser on trade and investment, the trade and investment attache of Pakistan’s High Commission in Sri Lanka raised the matter with Sri Lankan authorities and subsequently their government withdrew the decision to enhance the levy.

“I wish to share the good news that the Sri Lankan government has taken back the increase in cess on import of kinnow and mandarins,” tweeted Adviser to Prime Minister on Commerce, Textile, Industries and Production Abdul Razak Dawood on Friday.

“The levy has been reverted to Rs30 per kg (from Rs160 per kg).”

He appreciated the All Pakistan Fruit and Vegetable Exporters, Importers and Merchants Association (PFVA) for bringing the issue to the knowledge of the Ministry of Commerce.

He commended the efforts made by Pakistan’s trade and investment officer in Colombo in that regard. The adviser also thanked the Sri Lankan government for its understanding and support.

“This positive development will boost the confidence of Pakistani exporters as the citrus season has commenced and Sri Lanka is one of the leading markets for small mandarins produced in Pakistan,” he hoped.

“I urge exporters to keep the Ministry of Commerce informed of such cases so that corrective action can be taken timely,” said the adviser.

“Fruits and vegetables are an important priority sector in our Strategic Trade Policy Framework (STPF).”

 In comments to The Express Tribune, PFVA Patron-in-Chief Waheed Ahmed commended the timely action taken by the adviser on commerce to tackle the daunting issue.

As soon as the issue was brought to his attention, he approached the Sri Lankan government, asking it to withdraw the decision pertaining to increase in the cess on Pakistani kinnow, he said.

He recalled that Pakistani fruit and vegetable exporters had highlighted the surge in the levy on November 30.

Following the downward revision in the cess, exports of kinnow to Sri Lanka were expected to rise, he hoped.

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