Karachi, January 13 : Federal B Area association of trade and industry (FBATI) has demanded immediate removal of all taxes and duties imposed on cotton imports.
Textile industrialists say that despite large export orders in the country’s value-added textile sector, textile exporters are not able to operate at their full potential due to shortage of cotton yarn. President FBATI Muhammad Ali says cotton production has fallen from 15 million bales to 5.5 million bales, with the price of cotton record hike due to a shortage of cotton in the country and exporters face uncertain situation He said that the government was levying 11% tax on imports of cotton yarn customs duty, 17% sales tax, 11% income tax and 2% additional customs duty Textile manufacturer idrees Gigi and president FBATI has demanded a complete ban on the export of cotton yarn and allow duty-free import of yarn until the textile sector has easy access to available raw materials.