'Government to reduce deficit by increasing export'

The trade deficit has reached to 14 billion dollars and the government has chalked out a comprehensive plan by increasing export to bridge the gap in trade deficit. "The principle of devaluation of money will not be followed to decrease it.
The business community and trade organisations will be consulted to get first-hand information before the government spells out its final trade policy," said Federal Minister for Trade Shahid Khaqan Abbasi at the Lahore office of All Pakistan Textile Mills Association (Aptma), on Saturday.
He said that textile sector would be taken into confidence and their opinion would be given priority before finalising the trade policy by the ministry of trade. He said that 25 percent increase in the prices of palm oil and petrol at the international market was the basic reasons for trade deficit.
He said, "There is royal road to bridge the trade deficit, which is increase in export. By increasing the export, the country can be saved from the huge trade deficit," he added. The minister said that the short and medium-term policies would be made to control the deficit.
All Pakistan Textile Mills Association Chairman Akbar Sheikh said the textile sector was playing vital role for the progress of the country and providing employment to the masses and government should pay heed to the sinking textile sector.
He suggested that textile export should be zero-rated and two percent income tax on the export of textile commodities should be waived because it would help to enhance the export as well as to decrease the trade deficit. Akbar Sheikh further said that entire textile chain should be declared tax free export industry.
Former Aptma president Shafqat Ellahi Sheikh said that manufacturing sector of various industries are badly suffering due to energy crisis and constant power load-shedding in the country. To eradicate sorrows and suffering of the manufacturing sector, the government should give top priority to the provision of uninterrupted smooth supply of power to the manufactures, he added.