PGMEA seeks ban/duty on exports of wet blue

Pakistan Gloves Manufactures and Exporters Association (PGMEA) has demanded government to either completely ban wet blue export or impose 50 percent duty on its exports. A delegation of PGMEA met with Chairman Pakistan Tanners Association, Khurshid Alam to discuss the situation arising out of the scarcity of wet blue, which is a necessary raw material used in glove manufacturing.
The delegation apprised Alam that the deteriorating supply of wet blue stocks during the last couple of years is severely hampering progress of glove manufacturing industry and asked him to play his role in highlighting the issue. Because of shortage of the raw material, 200,000 workers feel unrest, thus government should take comprehensive steps to check smuggling of live animals.
PTA chairman told the delegation that the association has already taken up the case with the government of increasing export duty on wet blue from 20 percent to 50 percent in order to check the excessive outflow of wet blue stocks from the country. He said the tanning industry is already facing shortage of hides and skins as a aftermath of smuggling of live animals to Iran and Afghanistan, and stressed the need for imposing complete ban on export of live animals. Alam further said that because of high demand of the raw material in the international markets, some unscrupulous elements, not relevant to leather trade, sell out huge stocks of wet blue after mis-declaration and/or under-invoicing.
With a view to discourage this kind of malpractice, the government has already imposed 20 percent duty on wet blue exports, which is not sufficient in the present circumstances and yielding desired results. PTA has also communicated the minimum export prices for wet blue, along-with container loads, to Federal Board of Revenue as well as customs authority at Lahore, Multan, Sialkot dry ports and Karachi port, he maintained. During the meeting, both the associations agreed that government should take other stricter measures to curb smuggling of live animals besides immediately levying 50 percent export duty on wet blue exports.