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Textile industry is highly perturbed over adverse impacts of COVID-19 outbreak as foreign buyers have started cancellation and deferral of export orders. The situation is leading towards massive de-industrialization, significant fall in exports and unmanageable level of unemployment. The government should take supportive measures on war footings to keep the wheels of industry moving and secure jobs of millions.

Talking to newsmen, here on Tuesday, Chairman Pakistan Textile Exporters Association (PTEA) Sohail Pasha expressed grave concern over adverse impacts of coronavirus pandemic on economy and industrial sectors. The way the epidemic has taken its toll on the global markets, it has seriously impacted the scale of demand for Pakistan's exports, he said and added that although the outbreak appears to have slowed in China, COVID-19 and its impacts have gone global as EU, USA, Canada and other countries have almost sealed their borders. The most affected value chain for Pakistan is textiles and apparel which have started large scale cancellation or deferral of export order. Resultantly, industrial production has been slowed down and wheels of industry have come to halt. If the situation prolongs, there will be unmanageable level of unemployment, he apprehended. In order to save the economic from the impacts of the slowdown in the world economy due to the COVID-19 and other global economic challenges, the government should take economic measures to protect the trade and industry of the country. He stressed for disbursement of all outstanding refunds of textile exporters lying pending with Sales Tax, Custom Duty Drawback, Income Tax, Income Tax credit (u/s 65B&E) regime along with textile policy incentives (Duty Drawback of Taxes (DDT), Technology Up-gradation Fund (TUF) and mark-up support subsidy to keep industrial wheels running and save the livelihood of millions.

Copyright Business Recorder, 2020

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