Textile industry has assured the federal government that there will be no layoffs of workers due to ongoing coronavirus (COVID-19) pandemic.
Exporters have also presented a number of proposals to the government for sustainable business environment in the country and assured that textile industry will support the measures to be taken for industry in the difficult period, when the Covid-19 pandemic has even hit the economies of developed countries.
A delegation of major textile exporters led by Fawad Anwar, Managing Director, Al-Karam Textile Mills held a meeting with Finance Advisor Abdul Hafeez Sheikh and Commerce Advisor Abdul Razzak Dawood on Friday to discuss the issues relating to textile industry and export sector in the wake of evolving economic conditions following COVID-19.
Several other leading exporters including Zaki Bashir of Gul Ahmed Textile Mills, Asif Tata of Tata Textile Mills, Shahid Abdullah of Sapphire Textile and Omer Ahmed of Artistic Milliners were also part of the delegation.
Fawad Anwar told Business Recorder that the attitude and approach of both the advisors and Chairman Federal Board of Revenue was extremely positive and supportive for the industry.
During the meeting, the impact of COVID-19 pandemic on the country's economy and export sector was discussed in detail. The delegation informed the government that export of textile sector may face liquidity issues and some decline in exports in coming months due to slow demand on the international front.
He said all ministries and the FBR have completely endorsed the graveness of textile exporters in the current economic situation, where the industry is facing huge cancellations of export orders by foreign retailers.
Fawad said during the meeting the advisor finance has assured exporters that payment of all pending refund claims of Drawback of Local Taxes and Levies (DLTL), GST and income tax will be made on an immediate basis to support the textile industry and ease their liquidity issues. This is a positive development and a good initiative by the advisor finance as currently exporters' billions of rupees refund claims are stuck with the government, he added.
“We have also submitted a number of proposals to improve the liquidity position and cash follow of exporters as fresh export orders and pending foreign payments may be delayed due to COVID-19 crisis," he maintained.
The delegation also discussed a number of measures and initiatives that would not only minimize the losses of textile sector, but help continue businesses. “We have also assured the government that with the expected supportive measures there will be no layoffs from the textile industry as it could lead to further unemployment and social unrest," Fawad added.
He appreciated relief measures announced by the State Bank of Pakistan (SBP) for support of export sector. He said the SBP has taken much needed measures on time, which will help avoid crisis in this trying times.
Source: This news has been taken from https://www.brecorder.com/
