Federal Commerce Minister Khurram Dastgir Khan has said the Prime Minister is announcing a much-awaited package in the first week of October to resolve manufacturers-cum-exporters' long-running problems. Besides, the premier will launch a strategic trade framework policy to incentivise innovation and value-addition of industrial goods, their global branding, development and sophistication, he said.
Speaking as a chief guest at the annual dinner 2015 of Towel Manufacturers Exporters Association, held at a local hotel late Tuesday evening, Dastgir said the package was a result of recent meetings between the manufacturers and exporters with the premier. The framework policy will also help the manufacturers-cum-exporters explore new markets and retain existing ones to compete with the rival countries including Bangladesh, India and China, he said, hoping the government's key initiatives would end export sectors problems.
The minister, who could ensure his arrival at the function at 9:26 pm instead of schedule timing of 8:30 pm and started addressing the gathering at 10:53 pm against 9:30 pm hoped the prime minister's package will bring exporters' key problems to an end. In line with the package, he said, exporters will receive Rs 200 billion refunds that had backlogged for years, besides ending power and gas supply crisis and their tariffs and restoring zero-rated sales tax status to exporting sectors.
He asked the value-added textile exporters to show a bit more patience till the premier made both instruments public early next month. He said the government through the framework policy would help manufacturers scale down their cost of production and business. Besides, the government will facilitate manufacturers to test their goods in the world laboratories for their development and innovations, he said, adding that the government for its stiff fiscal position was unable to provide major relief to exporters but would do so soon.
The GSP Plus status that Pakistan has received during the present government's tenure yielded better results for the nation, he said, adding that the towel export growth to $1.3 billion had been its manifestation. The GSP Plus will remain tagged to Pakistan for 10 years.
Federation of Pakistan Chamber of Commerce and Industries (PFCCI) President Mian Muhammad Adrees, who spoke at the gathering at 10:13 pm rather at 9:10 pm, said the prime minister's package should prove reality and not eyewash. He termed running majority of sick and ailing industry as 'difficult' and warned that the country was fast losing its exporting orders to India and Bangladesh. He said industries were facing high cost of production and losing competitiveness in the world markets. Address by Chief Executive Officer, Trade Development Authority of Pakistan, S M Muneer started at 10:32 pm later from the programme time of 9:20 pm telling the government to pay heed to exporters' clamour on high cost of production and tax refunds.
He said the country's situation was improving and scores of South Korean firms had shown interest in investing in different sectors here. He asked the government to support the business community in testing time. He warned the government about the shutting down of industrial units from falling short of liquidity since they had billions of rupees backlogged with FBR for years. He said the manufacturing units were closing down on a regular basis.
Chairman TMA, Mehtab Uddin Chawla began key note speech at 9:39 pm instead 8:50 pm and called upon the government to end its pathetic approach towards the export sectors of the country and step up support to strengthen the industry. For over 18 months, a TMA member, Ali Raza is missing despite his family has paid Rs 50 million as ransom to kidnappers, he informed the participants, adding that the government should extend a helping hand to exporters.
He accused India of taking benefit from Bangladesh Least Developed Country's (LDC) status and exporting its textile goods through its neighbouring country hitting Pakistan's share on the EU market. He warned the government that the country's export orders were slipping away into India and Bangladesh for lack of official support. He appealed to the government to restore zero-rated status to export sector and release Rs 200 billion of sales tax refunds to the industrialists, besides utilising the Export Development Fund for the industry's betterment.
Chairman South Region TMA, Mehmood Rangoonwala started his address of welcome at 9:35 pm against 8:40 pm saying that the association was founded in 1965 and had over $1.6 billion export to its credit besides sheltering 0.8 million workers through its members industrial units. He appreciated the office bearers for their support during the entire tenure.