KARACHI: The value-added sector warns that the crisis is yet not over as duty-free cotton yarn imports will not ensure smooth supply of key raw material on a sustainable basis.
The government recently waived customs duty on cotton yarn but refused to allow imports from India. This facility is available till June 2021.
“The government should know the situation of shipping lines. Any import or export of consignments takes two to three months as most of the ports are facing severe congestions,” said Pakistan Apparel Forum (PAF) Chairman Javed Bilwani.
Aamir Aziz, another exporter, confirmed to Dawn that the shipping lines have also increased their freight charges by five to six times and even then take too much time to ship the goods.
Traders call for importing cotton from India
Demand incentives until country achieves cotton production target
KARACHI:
Keeping in view the government’s approval of duty-free import of cotton yarn, exporters have demanded that the leadership open imports from India.
They have also requested the government to extend incentives until the country achieves its yearly cotton production target.
The Economic Coordination Committee (ECC) of the cabinet on Wednesday withdrew customs duty on the import of cotton yarn till June 30, 2021.
In a statement on Thursday, Pakistan Yarn Merchants Association (PYMA) Senior Vice Chairman Hanif Lakhany called for the abolition of additional customs duty and regulatory duty on synthetic yarn to counter the impact of Covid-19 pandemic and steer production activities.
ECC withdraws customs duty on cotton yarn imports
Business
April 15, 2021
ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet on Wednesday withdrew customs duty on import of cotton yarns and waived 66 percent take-or-pay commitment in power purchase and gas supply agreements for three public sector RLNG-based plants.
The decisions were taken during a meeting presided over by the Minister for Finance, Revenue, Industries and Production Hammad Azhar. The committee approved the withdrawal of customs duty to ensure smooth supply of cotton and cotton yarns to the value-added industry, while bridging the gap between domestic production and overall demand for the inputs.
Customs duty on cotton yarn imports removed by ECC geo.tv - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from geo.tv Daily Mail and Mail on Sunday newspapers.
Yarn shortage pushing industries towards closure
Textile exporters say exports have dropped drastically , warn of massive layoffs
KARACHI:
Textile exporters have lamented that the aggravating cotton yarn crisis due to its shortage has caused a drastic decline in exports, pushing industries on the verge of closure and sparking fears of layoffs of millions of workers.
At a joint press conference of various textile associations, Pakistan Apparel Forum Chairman Jawed Bilwani said, “The government has closed its eyes on the hoarding of cotton yarn and cartelisation, which can be dealt with as per law under the Price Control and Prevention of Profiteering and Hoarding Act 1977 and Competition Act of Pakistan 2010.”