Pakistan Hosiery Manufacturing and Exporters Association, North Zone (PHMA-NZ), has demanded of the government to extend the deadline on submission of “incremental claims" of duty drawback of taxes for the financial year 2018-19 to 31 July 2020, and 50 percent incremental claims should also be allowed on achievement of 10 percent increase.
Mian Naeem Ahmad, chairman of PHMA (North Zone), said that the commerce ministry should consider extending the deadline in order to facilitate the textile exporters.
Likewise, in the current scenario, the government should also consider allowing the textile exporters to submit the remaining 50 percent incremental duty drawback of taxes claims on achievement of 10 percent increase during financial year 2019-2020 on the basis of nine months' performance as export remained at a standstill the whole quarter of a year due to the lockdown, he added.
The chairman of PHMA said that the government's facilitating the textile exporters would boost their confidence.
Mian Naeem said that several exporters had approached him and told him that they had been facing inconveniences amid the economic slowdown and the lockdown to complete the procedural requirements by the 31st May deadline.
Due to COVID-19 textile industry was affected and remained totally closed for 50 days.
The country faced a complete lockdown, and banks as well as the SBP were open with reduced working hours and limited number of staff which caused delays, he said.
He said that the economic slowdown in the wake of COVID-19 had brought detrimental effects on the textile industry and exports of Pakistan. The textile export industry faced colossal financial losses due to cancellation of orders, delayed payments against LCs and disputes as some buyers refused to collect the export shipments at destinations.