The Chairman (Central) of Pakistan Tanners Association (PTA) Agha Saiddain has termed the mini budget presented before the National Assembly on January 23 as positive step, export driven and investment friendly. While talking to Business Recorder here on Saturday, Agha Saiddain said that policies of the previous governments were fiscal driven whereas policies of the present government are export and investment driven which was need of the day.
He said the leather sector is optimistic about future of this important sector which is third major export-oriented sector after rice and textile. He said that the steps taken in this reform package would help promote investment in the country. The package will not only attract the local investors but also encouraged the foreigners to invest in Pakistan, he added. He said that exports of leather sector dropped during the last 10 years due to adverse policies of the previous regimes.
The present government has taken needy steps to bring down the production cost and removed duties and taxes on import of tanning machines. This will obviously encourage tanners for up-gradation and modernization of their tanneries, he added. PTA chairman said that the reduction of duties on imported tanning chemicals would help leather sector to increase exports in future days. Similarly, government is taking measures to clear all outstanding refunds of DLTL, Customs Duty, and Sales Tax, he said. If liquidity issue of the export oriented industry is resolved, it would further help increase exports.
He said the policies evolved by the present government are highly professional and would be fruitful in arresting the trade deficit in near future. The leather industry is further expecting that the government would announce more export driven policies under the Strategic Trade Policy Framework (STPF) 2018-24.