The Pakistan Government has provided all its possible support to ensure inclusive growth and employment generation in five export oriented industries including the value added textile industry and boost Pakistani export.
The Pakistan textile industry has been facing troubles due to huge liquidity outstanding in sales tax refund, customs rebate and drawback on local taxes and levies claims. In the wake of this downslide the value-added garment sector expect the Government to grant zero-rating status to five export-oriented sectors to boost the country’s exports.
Pakistan value-added textile sector hamstrung by cash crunch as more than Rs 205 billion refunds has been stuck up with the government. Federal Board of Revenue (FBR) still withholds more than Rs 13 billion under Drawback on Local Taxes and Levies (DLTL) claims and about Rs 17 billion sales taxes under refund claims, causing immense problems to the textile industry, according to Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA).
