The All Pakistan Textile Mills Association (APTMA) spokesman has said that it is impossible to achieve the export target of 12 percent of GDP, given the non-serious attitude of the government. The target cannot be achieved by allocating merely Rs 4 billion in the new budget against Rs 180 billion Prime Minister's Textile Industry Package announced on 10th of January 2016. "Allocation of Rs 4 billion under the textile industry package is nothing short of a joke," he added.
He deplored that the federal budget 2017-18 has offered nothing for industrial growth and increase in exports. Instead of announcing initiatives for immediate restoration of textile industry's viability, the government has further burdened it with increase in turn over tax, customs duty and sales tax on import of cotton and levy of further taxes.
The industry is already plagued with liquidity crunch amidst uncertainty relating to clearance of billions of rupees of Sales tax refunds. He said both the current account and trade deficits could be minimized by strengthening the textile industry, which has potential of earning precious foreign exchange for the country.
The government should ensure enabling environment for industry and new investment on priority, he stressed. He mentioned that the high cost of doing business was already shutting out feeble manufacturing units one after the other. He said the government should also protect domestic commerce through tangible measures to check dumping of textile raw materials and products. He said the textile industry was a major contributor to the country's exports and appealed to the prime minister to allocate funds to honour his Rs 180 billion textile package announced earlier this year.
"The textile industry is in dire need of viability restoration, availability of energy at internationally competitive rates and measures leading to new investment initiatives. APTMA spokesman said all textile associations are up in arms against such an anti-industry, anti-investment and anti-export budget.
Comments
Comments are closed.