Govt asked to extend import ban for five years

LAHORE: Pakistan Footwear Manufacturers Association (PFMA) on Monday asked the government to extend ban on imported items for five years to support the local industry.

Addressing a press conference, chairman PFMA Zahid Hussain termed the government decision to impose a ban on import of imported goods “wise and right”. Hussain called upon the government to sustain the ban for at least five years to support the local industry and exports to grow.

“It will also lead to creation of 25,000 jobs for locals," he said. Pakistan Footwear Manufacturers Association chief was of the view that it was due to sustained growth that country’s shoes import was on higher side. Hussain believed that import ban would lead to the 100 percent local shoes manufacturing during next five years.

“We had set the shoes export target of $1 billion for the year 2027, but hopefully, we shall achieve this target by 2026,” he said, adding, the component and shoes-making production had increased to 20 percent and crossed the exports target of $180 million.

He shared that Pakistan Footwear Manufacturers Association was part of the government strategy for cluster development, which would also augment shoe manufacturing sector to become the number in the region besides competing Brazil, Vietnam, and China.

“We shall focus on the capacity development with the help of TEVETA [Technical Education, Vocational and Entrepreneurship Training Authority] to enhance our productivity.” He went on saying that the government had granted protection to the sector in tariff, and it should also extend extension in Local Taxes and Levies Drawback (DLTL) scheme so that the sector could progress and play an effective part in the income generation, he maintained.

Hussain emphasised that the footwear industry was facing some challenges, which needed attention of key policy makers for immediate resolution. Some of the most important ones were resumption of extension DLTL scheme for three years at least to enable the industry to position itself in the international market and waiving off additional custom duty and regulatory duty on all raw materials for footwear industry and put them in lowest slab of custom duty to promote “Made in Pakistan Initiative,” he urged.