LAHORE: Pakistan Carpet Manufacturers and Exporters Association (PCMEA) has expressed serious concerns over the proposal of removing the zero-rating regime, saying such a proposal would create a negative impact on exports, production and investment in the country.
PCMEA Chairman Naeem Sajid raised these concerns while addressing the joint meeting of the North and South Circle on Saturday. He demanded the government to call the meeting of all stakeholders to discuss this grave issue and seek suggestions so that unrest among the business community could end soon.
PCMEA Senior Vice Chairman Ijazul Rehman, Carpet Training Institute Chairman Pervez Haneef, senior leaders Riaz Ahmed, Saeed Khan, Akbar Malik, Maj (r) Akhter Nazeer and others were also present on the occasion.
The PCMEA office-bearers reviewed the preparation of the upcoming carpet exhibition besides discussing in details about the challenges being faced by the industry.
They said after the removal of the zero-rating regime, it is feared that five different industries would experience a negative impact which would ultimately reduce the country’s export volume. “There is a dire need to enhance the country’s exports and taking such steps would not be appreciated at any level.”
The officials said if the proposal is approved, about 30pc export would be reduced and the country cannot afford this. They also said foreign and local investment would also be affected which would be resulted in the closure of the industrial units.
They said about Rs200 billions of exports’ refunds are yet to be cleared and after implementing this proposal, the same would increase the difficulties of the industrialists.
They hoped that the government would avoid taking such a step that could increase the problems for exports.
