Pakistan Cotton Ginners Association (PCGA)'s Chairman Chaudhry Masood A Majeed and Vice Chairman, Nawab Shehzad Ali Khan opposed the imposition of RGST terming it disastrous for ginners as well as cotton growers. Government should not implement this unjust tax otherwise industry will be forced to close its factories.
Talking to newsmen here on Monday they said that ginning industry was already facing crisis of power load shedding, suspension of natural gas supply and non-availability of soft-loans from the banks. Recent increase in POL prices, power and gas tariff had added to their miseries.
Masood said that prevailing situation and non-conducive atmosphere had affected the industrial process particularly seasonal industry like ginnery. PCGA chairman said," we were expecting a bail-out package or a relief and rescue or SOS package for ginning industry but bureaucracy employed old tactics to put extra burden on the already hard pressed industry.
He said that cotton plays a key role in country's economy and it is a backbone of our economic set-up. He reiterated his demand for enhancing the credit limits for ginning sector and said that now cotton was selling at Rs 8 to 9 thousands per maund but banking sector was reluctant to finance on market rates consequently they were facing financial problems in clearance of dues of the growers. Chaudhry Masood said, "Ginners have no sufficient working capital to make payment to growers. He said that government should announce a package for the ginning industry.