Web Exclusive | January 2018
Scrap tax on yarn import: Pak mills
The Pakistan Yarn Merchants Association (PYMA) has urged the Pakistan Government for removal of the regulatory duty on the import of yarn. An appeal has been made to Dr Miftah Ismail, advisor to the Prime Minister on Finance, Revenue and Economic Affairs, for supply of affordable raw materials to the textile industry to increase the production.
The association has asked the government for provision of a level-playing field along with non-discriminatory business environment will help in supply of cheap raw material to the export-oriented industries, according to Pakistani media reports.
Removal of regulatory duty will reduce the cost of doing business and bridge the gap between production and consumption. With the apparel sector having limited production line due to lack of latest fabric varieties at the local level, the high duties will result in significant decline in the exports of apparel.
In December last year, the Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) also urged the government to relax duties on yarn import to encourage value addition.