PIAF Says High Input Cost Declined Exports

LAHORE, (UrduPoint / Pakistan Point News - 11th Jan, 2017 ) : Pakistan Industrial and Traders Associations Front (PIAF) Wednesday expressed concern over decline in overall exports of the country and termed high input cost as major reason for this trend.

In a meeting with renowned industrialists here at his Gulberg office, PIAF Chairman Irfan Iqbal Sheikh said Pakistan exports were declined by 12.1 per cent in 2015-16, whereas Bangladesh exports were increased.

Despite having GSP Plus status by European Union (EU), he added, country's exports could not be jacked up, and keeping this situation well in view, there was a dire need to re-address the policies and priorities in this regard.

PIAF Chairman accompanied with Senior Vice Chairman Tanveer Ahmed Sufi and Vice Chairman Khawaja Shahzeb Akram appreciated the government for announcing incentive package for the industry, however, the package would be result-oriented only if the industry was given cheaper energy sources.

He was of the view, "Our industry has a potential to double its exports if provided level of playing field. There is around 20 per cent difference in gas and electricity prices between India and Pakistan.

Unless and until the cost of doing business is not reduced desired results as per incentives given for increasing exports will not prove effective." Irfan Iqbal Sheikh urged the government to bring electricity and gas tariff to regionally competitive level, citing that Bangladesh had captured Pakistan's garment share in the international market for which the government should provide relief to this sector.

He also stressed the need for immediate payment of refunds to help improve the businessmen liquidity besides including the packaging material in zero-rated sectors for the purpose of sales tax refunds.