Release of DLTL: Non-textile sector complains of step motherly treatment

The country's non-textile sector is said to be annoyed with the Commerce Adviser Abdul Razak Dawood for his step motherly treatment in release of Drawback of Local Taxes and Levies (DLTL).

A couple of days ago, Abdul Razak Dawood in a tweet stated, "On assuming charge of his post at Textile Division, Secretary Commerce, Sardar Ahmed Nawaz Sukhera has approved release of Rs 17.6 billion to textile value-added exporters."

However, Dawood told patron-in-chief PLGMEA at a meeting in Lahore that Rs 17.6 billion is for both the textile and non-textile sectors whereas his tweet does not mention the non-textile sector.

Talking to Business Recorder, Fawad Ijaz Khan said that he has complained to Abdul Razak Dawood for the government's step motherly treatment with respect to the non-textile sectors as they are not as 'powerful' or 'influential' as the textile sector.

He said, the claims of DLTL of non-textile sector were just Rs 2 billion, adding that he has also raised this issue with the newly appointed Director General Trade, Ministry of Commerce Waqas Ahmad.

According to Fawad Ijaz Khan, sufficient funds are available with the Commerce Division to clear claims of non textile sector. He said, former Director General Trade, Muhammad Ashraf, (Counsel General designate to Sydney) was more efficient in dealing with such matters.

The government has changed payment mechanism and now the Finance Division releases funds to Commerce Ministry which on-sends it to State Bank of Pakistan (SBP) to be released to the exporters.

The SBP has already written to the Commerce Division on how to deal with the claims of non-textile sector. "The DLTL funds should have been released to all textile and non-textile sectors at par and not on the basis of discrimination," Fawad Ijaz Khan added.