The United States has revoked 3.5 percent countervailing duty imposed on Pakistan's shop towels for the past two decades, official sources told Business Recorder here on Saturday. The sources said American manufacturers of shop towels did not apply for continuing the duty this year, which proved that the government was not providing any subsidy to exporters of shop and other towels.
However, the decision will be effective from the date it is gazetted in the federal register.
Talking to Business Recorder, chairman of the 140-member towels manufacturers association Masood Ali Rizvi welcomed the US decision.
However, he said there was only one influential American manufacturer of towels who had been applying for the imposition of the countervailing duty on Pakistani product during the past two decades.
Rizvi called upon the Export Promotion Bureau to educate exporters of textile products about the Trade and Import Laws of developed countries and requirements of the WTO laws so that they do not invite imposition of anti-dumping duties in the quota-free era.
Pakistan exports about $ 652 millions worth of various sizes and qualities of towels annually.