Export-oriented industries: Sialkot traders angry over proposed GST rise
Demand zero-rated facility in upcoming budget to promote trade.
SCCI president that exporters would take to the streets and lock up their factories if the FBR increased the tax rate to 5% from the current 2%. STOCK IMAGE
SIALKOT:
All the major trading bodies of Sialkot, including the Sialkot Chamber of Commerce and Industry (SCCI), have rejected the 3% increase in general sales tax (GST) proposed by the Federal Board of Revenue (FBR).
While rejecting the proposal, the exporters demanded zero-rated facility in the upcoming budget in order to give a boost to the city’s industries.
SCCI President Fazal Jillani, at a press conference held at the SCCI building, said taking the business community’s demand seriously in terms of taxation was the key to economic revival in the country.
He added that exporters would take to the streets and lock up their factories if the FBR increased the tax rate to 5% from the current 2%.
“The industry has already suffered enough from the prolonged energy crisis and delay in clearance of sales tax refunds,” he said. “Add that to the duty drawback claims, the proposed increase in GST will definitely bury this industry.”
Speaking on the occasion, Pakistan Gloves Manufacturers and Exporters Association (PGMEA) Chairman Muhammad Younas termed the proposed increase in GST unjustified.
He said the government should announce trade and export incentives instead of putting additional financial burden on the industries.
A representative of the Surgical Instrument Manufacturers Association of Pakistan also urged the government to announce an early withdrawal of the 15% regulatory duty imposed on surgical instruments made of steel. He said removal of the duty would help boost surgical exports from Sialkot.
Published in The Express Tribune, May 21st, 2015.
All the major trading bodies of Sialkot, including the Sialkot Chamber of Commerce and Industry (SCCI), have rejected the 3% increase in general sales tax (GST) proposed by the Federal Board of Revenue (FBR).
While rejecting the proposal, the exporters demanded zero-rated facility in the upcoming budget in order to give a boost to the city’s industries.
SCCI President Fazal Jillani, at a press conference held at the SCCI building, said taking the business community’s demand seriously in terms of taxation was the key to economic revival in the country.
He added that exporters would take to the streets and lock up their factories if the FBR increased the tax rate to 5% from the current 2%.
“The industry has already suffered enough from the prolonged energy crisis and delay in clearance of sales tax refunds,” he said. “Add that to the duty drawback claims, the proposed increase in GST will definitely bury this industry.”
Speaking on the occasion, Pakistan Gloves Manufacturers and Exporters Association (PGMEA) Chairman Muhammad Younas termed the proposed increase in GST unjustified.
He said the government should announce trade and export incentives instead of putting additional financial burden on the industries.
A representative of the Surgical Instrument Manufacturers Association of Pakistan also urged the government to announce an early withdrawal of the 15% regulatory duty imposed on surgical instruments made of steel. He said removal of the duty would help boost surgical exports from Sialkot.
Published in The Express Tribune, May 21st, 2015.