Zero rating plan for textile lauded
Chairman APTMA, Mr. Tariq Saud appreciated timely decision of the Government to reintroduce Zero Rating or NoTax and No-Refund Regime for the Textile Sector which is the major export oriented sector and contributes more than 55% of foreign exchange earnings through exports.
In a statement issued to the Press, Mr. Tariq Saud, Chairman APTMA thanked Mr. Muhammad Nawaz Sharif, Prime Minister of Pakistan, Mr. Muhammad Ishaq Dar, Federal Minister for Finance & Economic Affairs, Mr. Haroon Akhtar Khan, Special Assistant to the Prime Minister on Revenue and Chairman FBR, Mr. Nisar Muhammad Khan for showing acceptance of the longstanding demand of APTMA to revamp back to zero rating of raw materials exclusively used by the industry for the manufacturing of products which will be step forward for the development and growth of export oriented textile industry .
He appreciated Mr. Muhammad Ishaq Dar, Federal Minister for Finance & Economic Affairs who heard the issues of the industry and taken concrete step for the revival of the Textile Industry by reintroducing Zero Rating Regime for the five major export oriented industry which worked well and export regis- tered growth.
Chairman APTMA hoped that acceptance of the proposals in letter and spirit would be a big achievement of the textile sector on which the present government has shown green signal to enhance exports. He further said that the application of sales tax regime at the rate of zero-percent on export oriented sectors including textiles from the year 2016-17 wherein entire supply chain would be subjected to zero-rating regime would take away the issues of refunds and resolve liquidity problems both for the industry and its buyers.
A delegation led by Chairman APTMA, Mr. Tariq Saud also participated by the representatives of the Textile Value Chain held an exclusive meeting with Mr. Ishaq Dar on Sunday the 29th May 2016 at Islamabad. Mr. Haroon Akhtar Khan, Special Assistant to the Prime Minister on Revenue and Chairman FBR, Mr. Nisar Muhammad Khan and were also present in the meeting. The Finance Minister also assured of considering the other recommendations of APTMA for the restoration of viability of industry to increase exports and to avert the threats to the domestic industry for competing on level playing field against the entry of subsidized rates of textile products for consumption in the domestic commerce.