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Textile industry for clearing ST refunds by tomorrow LAHORE - The value-added textile industry has asked the government to clear all the verified sales tax refunds of exporters (under the PM Package) before the end of its tenure as the shifting of this burden to the interim government will cause frustration among the exporters. Pakistan Hosiery Manufacturers and Exporters Association (PHMA) chairman Dr Khurram Anwar Khawaja added that billions of rupees against previous Drawback of Local Taxes and Levies (DLTL) Order 2009 since 2011; Incremental DLTL Order 2014-15 since June 2015; Incremental DLTL Order 2015-16 since April 2016; Incremental DLTL Order 2016-17 since April 2017 and DDT under PM Export Package 2017 of exporters are pending with the present government causing liquidity problems to the exporters in keeping up their export commitment, which must be released before May 31 to streamline the cash flow. He said that GSP window had opened tremendous opportunities by way of inflow of abundant export orders which the industry would not be able to execute if liquidity problem of the industry is not resolved at the earliest. He asked the government to appreciate the role of value-added apparel sector for its potential to harvest maximum benefits of GSP Plus, providing mass employment to the jobless population of the country. Dr Khurram Anwar Khawaja said the benefits of the renewed GSP Plus status can only be harvested by maximum value-addition in finished products rather than exporting only raw materials, which cannot be possible without relaxation in import policies. He urged that the government to immediately clear the verified duty drawback tax claims submitted to the Federal Board of Revenue under the Prime Minister's export package before the expiry of current government term. He said that verified sales tax refunds of billions are stuck up, which should be cleared by the present government before May 31, as handing over this matter to the interim government would cause further delay, creating hurdles in exports promotion. He demanded the government to accord priority to exports over imports. He proposed that separate examination areas of exports consignments for inspection of goods at Terminals must be allocated.
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