Textile Industry Asks Govt to End Karachi Port Charges

In practice, the All Pakistan Textile Mills Association (APTMA) has asked the Pakistan Single Window (PSW) to exempt Export Facilitation Scheme (EFS) goods declarations filed at Karachi ports by Punjab-based exporters from the Punjab Infrastructure Development Cess.

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Textile Exports Up 43% in One Month

In practice, the All Pakistan Textile Mills Association (APTMA) has asked the Pakistan Single Window (PSW) to exempt Export Facilitation Scheme (EFS) goods declarations filed at Karachi ports by Punjab-based exporters from the Punjab Infrastructure Development Cess.

Article outline

  1. What happened
  2. Official response
  3. Background
  4. The bottom line

Key points

  • The association additionally cited Rule 880(1) of the Export Facilitation Scheme, 2021, notified through Federal Administration SRO 957(I)/2021.
  • APTMA referred to Section 6 of the Punjab Infrastructure Development Cess Act, 2015.
  • According to the association, EFS Goods Declarations filed at Karachi ports by Punjab-based exporters should therefore additionally be treated as exempt from the Punjab Infrastructure Development Cess.
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  • APTMA remarked Rule 880(1)(a) further provides that input goods may be imported free of duty and taxes upon filing a Goods Declaration showing the relevant authorization.

In a letter dated October 5, APTMA remarked EFS goods are exempt from the Punjab Infrastructure Development Cess when consignments are cleared through Lahore Dry Port or Lahore Airport.

APTMA referred to Section 6 of the Punjab Infrastructure Development Cess Act, 2015. It provides that goods exempted by the federal administration from payment of import duties and taxes are additionally exempt from the cess. Punjab Links Property Transactions With Garbage Tax Payment.

Notably, the association additionally cited Rule 880(1) of the Export Facilitation Scheme, 2021, notified through Federal Administration SRO 957(I)/2021. Under the rule, authorized users can acquire input goods without payment of customs duty, federal excise duty, sales tax or withholding tax, subject to the scheme's authorization.

APTMA has requested PSW to review its system configuration in consultation with the Punjab Revenue Authority and Federal Board of Revenue and ensure that the cess is not charged on EFS Goods Declarations filed at Karachi ports.

For context, the association has additionally requested that a clarification be issued for exporters, importers and customs agents regarding the exemption. Stay Connected with ProPakistani.

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For now, textile Industry Asks Govt to End Karachi Port Charges remains the part of the story worth watching, and further updates are likely as more details are confirmed.

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