Likely increase in cotton yarn duty opposed

KARACHI: The value added textile exporters on Wednesday opposed the government’s proposal of imposing additional duty on the import of cotton yarn from India, casting fears that it will hurt the finished goods export.
Pakistan Apparel Forum Chairman Muhammad Jawed Bilwani said the government, instead of withdrawing the five percent duty on the import of cotton yarn, was mulling to raise it further with a view to move up the sales and profit of the spinning mills.
Bilwani said we oppose any import duty on yarn, as it may increase the cost of textile production and finished goods. “As value added textiles contribute one of the major shares to the country’s total export earnings, any increase in the price of the local product would reduce Pakistan’s textile exports to the European Union, that increased from $3.6 billion to $4.4 billion during the 10 months of 2014 as a result of GSP Plus,” he said.