All Pakistan Textile Mills Association (APTMA) Chairman SM Tanvir along with a delegation of textile industrialists had a meet with Chief Minister Shahbaz Sharif on Tuesday to discussion about problems faced by the textile sector. Chief Minister Shahbaz talking to the delegation said that the Punjab government has already gone ahead with the development of Quaid-i-Azam Apparel Park project to gain from the GSP Plus status awarded by EU.
The Pak-US Business Council crucial meet in Washington has been postponed as the Nawaz government chooses to enter into a deal with India on trade liberalization as it appends more importance to trade with India. It will help Pakistan boost its textile sector.
The Council of All Pakistan Textile Associations (Capta) has urged the government to reduce the rate of sales tax to zero for the value-added textile sector to compete in global market as it is facing a number of problems during a meeting at PHMA House last week.
Capta has expressed concern over Afghan transit trade which remains to be the biggest hurdle along with under invoicing, third port imports of Indian fabric and smuggling from India into Pakistan.
Pakistan textile sector demanding restoration of the zero-rating regime, the decision to withdraw zero-rating has adversely affected exports at a time when huge amount of Sales Tax Refunds are already stuck up with the Federal Board of Revenue (FBR) and exporters are facing liquidity crunch.
The Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) Senior VC Jawwad Ahmad Chaudhry has advised the government and the FBR to announce export-friendly policies instead of creating difficulties for the industry.
Pakistans textile sector is going through speculations these days with a lot of hearsay has been circulating in the market for the last couple of weeks, about foreign buyers vying for numerous textile operations in the country and with the rumors mill working overtime. But, the news that is creating the most buzz this week is a Chinese investor attempting to woo one of the largest composite milling operations in the country.
Chinese top textile conglomerate Shandong Ruyi Group is ready to take over major share of a Pakistan’s textile enterprise Masood Textile Mills (MTM), one of the most technologically advanced enterprises next week as Pakistan gets the GSP-plus status which will allow almost 20 per cent of Pakistan exports to enter the EU market at zero tariff and 70 per cent at preferential rates.
