Aug 28 -
Sep 03, 2000
Textile Vision-2005 okayed
The Economic Advisory Board (EAB) has approved 'Textile
Vision-2005' which envisages an investment of $6 billion over the next five
years in textile sector by shifting from 'performance to value-added exports'
and by lifting export to $13.815 billion annually, by the year 2004 against
existing level of $4.879 billion.
The EAB which met on Aug 15, under the chairmanship of
Finance Minister Shaukat Aziz, approved the policy after reviewing the 550
The commerce ministry has sent its copies to the concerned
ministries for their information. Officials said, the commerce minister is
likely to launch the policy formally in a press conference.
The policy document recommends the government to ask the
financial sector to provide impetus to textile sector through funding at as low
interest rate as 9 per cent. The policy also asks the government to direct the
SBP to design an incentive programme similarly to the export refinance (for
working capital) for long term investment and BMR.
An ambitious policy which has been prepared by the Small
Medium Enterprises Development Authority (SMEDA) gives clear signals for
rewarding value addition exports and in this connection, the government plans to
introduce tariff and direct fiscal measures, as well. The policy has also
stressed elimination of procedural and human level impediments to get the set
The policy which has listed farmer, ginneries, warehousing,
textile mills and exporters as proposed value chain has been categorized in
three portions which have named as 'low road', 'do-able' and 'high road'.
During the third phase of high-road, value-added products
(garments/made-ups) will be the engine of export growth (20% annually).
$164m LCs opened for sugar imports
The sugar importers have so far opened LCs worth $164 million
on C & F basis for the import of about 664,072 tons of sugar, industry
sources said on Wednesday.
They said more than 175,000 tons of imported sugar has
arrived in the country, but the fear of shortage coupled with greediness of
traders has increased domestic prices.
They alleged that some traders were hoarding sugar to exploit
They said traders have over-booked sugar import consignment
from China and Thailand, but the delay in arrival of consignment was causing
panic among the retailers.
Turnover tax cut to 1%
Finance Minister Shaukat Aziz on Tuesday announced reduction
of turnover tax rate for the wholesale and retail traders from 2 per cent to 1
per cent for one year, and also announced the launching of stock amnesty scheme
operative for one month, from Sept 1 to 30th, 2000.
Representatives of the trade bodies from all over the
country, sans NWFP, met him to conclude a package for these two trade
sub-sectors which have been agitating against the documentation of their
turnovers and profit-sources under the existing rules.
"The traders have assured the government that now they
will cooperate in the documentation process, pay tax in accordance to the agreed
formula, and maintain record-keeping on their sales-purchases", said
Baby shrimps exempted
Baby shrimps and shrimp meals used in shrimp feeding have
been exempted from import duty. An amendment has been made in the notification
No 555(I)/98, dated June 12, '98, through a fresh notification No 6
(19)/2000-CB, dated Aug 22, which stipulates that zero-rated facility will be
only for such importers who have in-house facilities for manufacture of goods.
Mark-up on cloth raised
The State Bank has withdrawn export finance from all types of
yarn with immediate effect, says a circular issued on Saturday. It says that SBP
has allowed the facility of export finance in respect of both bleached or
unbleached (grey) cloth at 10 per cent instead of 8 per cent. These instructions
have been issued after withdrawing earlier instructions on this subject.
41.3% rise in import of duty-free goods
CBR has recorded 41.3% increase in the import of duty-free
goods in '99-2000, as the value of such goods stood at Rs128.9bn, as against Rs
91.2 billion in the financial year 98-99.
The figures on 17 major items ledgered as Major Revenue
Spinners, show that largest increase in duty free import occurred in POL
products. Despite the fact that the value of total volumes of such products rose
from Rs45.632bn in '98-99 to Rs91.681bn (103% up) in '99-2000, duty collected
dropped from Rs4.6bn in 98-99 to Rs2.3bn in 99-2000 (50%). POL products'
duty-free imports in 99-2000 valued Rs39.872bn, as against Rs584m in 98-99.
Machinery was the second item where out of total imports of
Rs56.451bn, the duty-free imports valued Rs24.969bn. However, the duty collected
on machinery's import increased in 99-2000 (Rs5.536bn) against (Rs5.484bn)
98-99. The increase was achieved due to adjustments in duty, especially in the
construction machinery, which increased after removing exemptions allowed to it
in the previous year.
RAPakistan, Nigeria sign MoU
Pakistan and Nigeria have signed a memorandum of
understanding (MoU) for the export of agricultural products including farm
The Nigerian envoy and the joint secretary, ministry of food,
agriculture and livestock (MINFAL) signed MoU on behalf of their respective
Govt asked to allow import of raw sugar
The agriculture ministry has asked the government to allow
import of raw sugar for refinement in the local mills to meet the rising demand
of the local market and stabilise the prices.
The agriculture ministry has pointed out that the prices of
imported sugar will continue to further go up in the coming months, as
international production has been reported short of target.