Ultimate magazine theme for WordPress.

Traders and Loom Owners Not Ready To Submit ID Card: APTMA chairman Ali

0 106

LAHORE– All Pakistan Textile Mills Association (APTMA) Chairman Syed Ali Ahsan has said sale of textile mills to domestic market has come to a halt, as both the traders and loom owners are not ready to provide identity cards. 

He said a good number of mills have either reduced production capacities or closing down their operations.

Chairman APTMA said media reports suggest that the collection of tax revenue from local sales has increased in the month of July which could possibly be due to the fact that there was no condition of identity card.

Therefore, the industry kept dispatching sales during the month of July, which has reflected in tax revenue data. However, dispatches of yarn and fabric from mills to the domestic market are at standstill since the condition of identity card has been re-imposed from 1st of August, he added.

He said the industry is facing serious liquidity   constraints as there are no offtake of dispatches thus either reducing their production capacities or closing down their operations.

He said the latest data of mills’ operations suggest that mills are being closed down on fast pace because of the fact that the domestic market is totally at standstill.

He said the government should either make clear that the industry would not be allowed to do business with unregistered buyers or the government should educate the unregistered subsectors that why the condition of identity card has been re-imposed.

He said the government should remove the condition of identity card unless all the stakeholders are on board. The government should also extend facilitation and simplification to the intending clients interested in registering for sales tax.

He said the government should relax the condition of identity card if the buyer is ready to make payment through banking channel. Further, he urged the FBR to equalize the sales tax rate for both registered and unregistered buyers, as the difference of 17 and 20 percent respectively could encourage the phenomenon of flying invoices.

He has urged the government to take immediate decision to avoid a total closure of the textile industry, especially when cotton season is also round the corner. It will also affect government revenues as well as exports, he said and added that the government should end the prevailing uncertainty without delay.–PRESS RELEASE

Leave A Reply

Your email address will not be published.