In its 2021-22 budget proposals, Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) has urged for steps to promote industrialization and enhance exports.

As per Live Mint, AdeebIqbal, Vice Chairman, PRGMEA has urged the government to make the next budget business-friendly, lower cost of production, allow early refunds and relax impoer policy for industrial raw material.

He urged exporters to exploit the GSP Plus status to meet the export target, PRGMEA also sought revival of statutory regulatory order (SRO) 1,125 in its true shape, reintroducing the system of no payment no refund of sales tax for the five export-oriented sectors of textile, leather, carpets, surgical and sports goods for a year.

All stuck up claims of exporters' customs rebates and sales tax rebates should be released, it said. The apparel industry should be allowed to import fabric under SRO 492 scheme instead of the Duty and Tax Remission Scheme (DTRE) as the country's weaving industry is unable to fulfill the demands of fashion wear with foreign buyers demanding new garments based on G-3, G4 and technical fabric material.

Iqbal also proposed exemption of cotton yarn and fabric, the major raw material of the apparel sector, should be exempted from all duties and taxes to encourage value addition. PRGMEA suggested that all taxes and duties on import of polyester staple fiber, including anti-dumping duty, should be abolished to reduce the cost of production to compete in the market.