ISLAMABAD/LAHORE: The Pakistan Carpet Manufacturers and Exporters Association (PCMEA) has raised concerns over the challenges faced by the handmade carpet industry in a high-level meeting with Federal Minister for Commerce, Jam Kamal Khan. The delegation highlighted critical issues, including the imposition of a 10% regular duty on partially processed raw materials imported via the Torkham border, the reduction of sales tax from 25% to a non-refundable 5%, and prolonged delays in shipment clearance. The delegation, led by PCMEA Patron-in-Chief Abdul Latif Malik, Vice Chairman Riaz Ahmed, and senior leader Usman Ashraf, highlighted the adverse impact of these policies on the sector. ONLINE
They emphasized that the complexities surrounding duties and sales tax are severely affecting exports, urging the government to take immediate steps to support the industry, which is globally recognized as a symbol of Pakistan’s craftsmanship.
Among their key demands was the removal of the 10% regular duty on raw materials entering through the Torkham border, the reversal of the sales tax adjustment, and the inclusion of HS Code 5702 in the duty exemption list. They emphasized that these measures are essential to ensuring the industry’s competitiveness in international markets.
In response, Minister Jam Kamal Khan assured the delegation that the government is committed to addressing their concerns. He pledged efforts to eliminate the 10% regular duty before the upcoming budget and indicated that other industry-related issues would be considered in the next fiscal year’s budget.
“The government is focused on strengthening Pakistan’s export sector by fostering a business-friendly environment and supporting traditional industries like handmade carpets,” the minister stated. He added that Prime Minister Shehbaz Sharif has instructed relevant authorities to remove barriers hindering export growth and to provide maximum facilitation to businesses.
Reaffirming the government’s commitment, Minister Khan assured that all necessary steps would be taken to ensure the sustainable development of the handmade carpet industry, helping Pakistan solidify its position in the global market.
