Prime Minister has announced zero rated tax regime from July 2016 even though export is declining and reach highest decline record of 32 years: Shaikh Mohammad Shafiq

Karachi, February 18, 2016 (PPI-OT): Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) central chairman Shaikh Mohammad Shafiq, in a statement said that Prime Minister Nawaz Sharif has announced zero rated tax regime from July, 2016 even though the export is continue declining, and reach the highest decline record of 32 years.

Now the industry in ICU, and government announce remedy for future, we need immediate measures. Until we reduce our production cost, we can’t compete our neighbouring country as their governments provide more incentives to them. Our electric and gas tariff are very high as compared to India and Bangladesh.

We got 4% DLTL on our increment while Indian got 8% DLTL, in this scenario 5% DLTL demand on row material is injustice and damage the value-added sector, which is the backbone of the economy.

He further said that billions of rupees of exporters stuck up with the government in Sales Tax Refund Claims, Customs Rebate Claims, and DLTL Claims. Textile industry provides half of the exports but not getting due attention of policy makers.

For more information, contact:
Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA)
3rd Floor, Plot No. 57-C, 24th Commercial Street,
Phase II (Ext), DHA, Karachi, Pakistan
Tel: +92-21-35890651-2
Fax: +92-21-35890653
Email: info@prgmea.org
Website: www.prgmea.org