‘Economy to improve in months to come’

LAHORE: Adviser to Prime Minister on Commerce, Textile, Industries and Production, and Investments Abdul Razak Dawood has said that due to the government’s correct policies, the economy will improve in months.

In a meeting with the Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) delegation, headed by Chairman Mubashar Naseer Butt, he assured the zero-rated export industry of a level playing field to improve the economy.

PRGMEA Chairman Mubashar requested to cancel the July 14, 2018 circular with immediate effect, as it was already resolved in the last meeting held on September 6, 2018. Regarding procedure for the DDT 2018-21 Scheme, the chairman requested the government to announce complete 100 percent drawback rate of incentive without the condition of increment.

He asked the government to announce a clear policy to finally clear all the pending refund claims (ie DDT 2016-17 (7 percent), DDT 2017-18 (3.5 percent without increment and with an increment), customs rebate, sales tax etc) within stipulated time. The government should also clear old duty drawback claims of exporters for the period 2009-2012 as these claims have been pending since long, he added.

The PRGMEA leadership requested that the bank should support the exporters in a way that first they ensure 50 percent banking compliances in 2019 and a further 25 percent in the next year and so on. They complained that at the moment, different government agencies were harassing the textile industry virtually every day. Social security, EOBI and all other taxes should merge and be deducted at source, they demanded.