Pakistan Readymade Garments Manufacturers and Exporters Association (Prgmea), while appreciating the approval by Central Board of Revenue (CBR) of special procedure for sales tax free delivery of goods and services to encourage all manufacturers-cum-exporters, has appealed that the approved procedure must be notified at the earliest. Chairman Prgmea, Sajid Saleem Minhas said in a statement here on Wednesday that it had always been found that while the notifications are given due coverage instantly, the guidelines for implementation are not issued expeditiously, resultantly the concession/facility announced is not availed properly in time.

The best course is to seek recommendations of the respective textile trade associations to verify bona fide of the unit concerned. The registered associations of textile sector have liaison with ministry of commerce and facilitated authorisation of textile quota regime regulations in an excellent manner during the last one and a half decade and one has yet to come across allegation of mismanagement or corruption complaints in handling the textile quota regime affairs by the associations, he pointed out.

He further said that the customs/sales tax offices had also been in contact with the textile associations in the past to seek clarifications ensuring implementation of various government notifications and SROs etc, and Prgmea wish to ensure that if private and public sector again put efforts together to help the industry to face the challenges as a result of textile quota free regime effective from January 1, 2005, it will have far reaching results on exports.

The associations must be trusted and their verification of details of exports should be accepted, as CBR itself floated idea of verification of sales tax refund claims by the associations in the past.

He also urged the CBR to implement the decision of economic committee of the cabinet to encourage exporters of the entire textile sector engaged in manufacture of value added goods.

Copyright Business Recorder, 2005