'Delay in payment of ST refunds creates financial crunch for industry'

Ex-senior Vice President Sialkot Chamber of Commerce and Industry (SCCI) Mian Muhammad Anwar has said that inordinate delay in payment of sales tax refunds and duty drawback claims has created immense financial crunch for the industry.
Talking to Business Recorder on Sunday he said burning issue has resulted in severe liquidity and cash flow problems for exporter community of Sialkot. It has been emphasised time and again that businesses of Sialkot belong to SME category and they cannot afford delay in payment of such claims and funds as they have limited access to bank finance, hence cash flow problem create serious impediments to compete in the international market Anwar said.
He pointed out that country's exports are declining not only because of international scenario but mostly because of lack of support and seemingly lack of interest from the concerned quarters paying no heed to the problems confronted by the businesses. It is very unfortunate that rather than providing an enabling environment and removing the irritants arresting the growth, the export industry is being barraged by levies and taxes like Infrastructure Development Cess imposed by the Punjab and Sindh governments he said. He revealed that according available information a total Rs 7 billion is pending of exporters of Sialkot which is not a big amount for the government to clear adding that if government released the funds would certainly help the liquidity of the industry allowing it to be in far better financial position and would increase production.
The Former SVP further added that despite of certain serious problems the business community is ready to play its vibrant role in strengthening the national economy and enhance export volume.
It is very unfortunate that exports have declined by US 4 billion dollars, in the last three years, which is perturbing for the exporters adding that government should take appropriate steps for edging out the possibilities of decline in exports of the country as well as to assess the root causes of decline he said. Under the prevailing circumstance he said the government should take drastic steps and announce business friendly polices and resolve the problems being faced by the exporters at the earliest possible to keep the production wheel in full motion.
The Ex-Senior Vice President further stated that there is bright scope for business development as well as improvement of economy adding that despite of certain problems the business community of Sialkot was making all possible efforts for the betterment of national economy with the object to make Pakistan economically strong and stable.