He expressed these views at an interactive session with representatives of value-added apparel associations and leading exporters at the Pakistan Apparel Forum's Office, PHMA House.
Dharejo said that TDAP's aim is to achieve a quantum leap in export which can only become possible with the effectives role of stakeholders associations. The exporters are actually doing "jihad" and service to nation to strengthen the economy, he said, adding that TDAP wants to become the voice of exporters with effective and harmonious co-ordination with export associations. "The policymakers have now truly realized that the exporters of Pakistan have been facing a stiff competition with the regional competing countries and they direly need facilitation and support of the government in term of rationalization/downward revision of utilities tariffs for export-oriented industry," he said.
TDAP secretary said that in the next five years Trade Policy, the government has focused on providing an enabling and sustainable environment to the exporters while taking all necessary measures to decrease the cost of doing business. He said the government is pondering to ensure that the new trade policy shall be independent and will not become the slave of any fiscal policies of the past.
He said TDAP is actively working to establish overseas office and warehouses abroad with special focus on the performance of commercial counsellors who now have been regularly reporting to TDAP. In addition, few nonperforming commercial counsellors have been removed.
"Emerging Pakistan is an initiative to depict soft and strong image of Pakistan worldwide. To attract foreign businessmen, visa on arrival facility for 68 countries has been initiated," he said, adding that for Pakistani Brands Development, TDAP is providing technical assistance.
Dharejo further said that the Authority under its mandate as per law wanted to promote 'Made in Pakistan' products, globally. He said the general Expo Pakistan exhibition would be diversified to specialized sector specific exhibitions.
Subsequently, TDAP in collaboration with Commerce Ministry is remodelling Expo Centre Karachi with an investment of Rs 6 to 8 billion in next five years. Under the ownership of TDAP with contribution of 30 percent, the remaining funds would be provided by the Federal Government under Public Sector Development Program.
He said some 09 new halls would be constructed along with a large modern convention centre to accommodate 5000 persons at a time. Besides multi-storey Office Complex for TDAP, Business Centre and convention centre was also planned at the Expo Centre Karachi whose soft launching would be held in April 2018.
The Secretary TDAP sought proposals in respect to budget and trade policy. He also appreciated the idea given by Jawed Bilwani, chairman, Pakistan Apparel Forum, to construct a buying house building to be maintained by TDAP at Karachi Airport to offer top hundred global brands / buyers to deal with the Value Added Textile Industry of Pakistan and assured to take up the same with the higher authorities at Islamabad.
Earlier, Bilwani welcomed Dharejo and his team to PHMA House, Karachi.
During his presentation, he apprised them of the issues and difficulties faced by the Apparel Export Sector which is the backbone and engine of textile sector and the largest sub-sector of textile export sector with $4.67 billion exports per annum and largest contributor to earn precious foreign exchange and largest employment provider.
He said it is essential that government must reduce the highest cost of manufacturing at par with regional competing countries and introduce separate tariff/heads of accounts for textile industry. He called for immediate payment of exporters' refunds-Sales Tax, DLTL, Customs Rebate, Withholding Tax Claims etc. He urged all Custom Rebate Claims must be released through State Bank of Pakistan at the time of realization and payment of export proceeds. Other issues faced by the value added apparel sector were also highlighted.
Bilwani termed costly inputs and increasing cost of manufacturing as the major obstacles that hamper the export efficiency which needs to be resolved. He recalled that when textile quota ended in 2005, he had demanded to separate and reduce utilities tariff for Textile Export Sector but the government at that time gave R&D Support which was later discontinued. Thereafter, the government began to offer incentives announcing publicly due to which foreign buyers asked for discounts hence brought no benefit to exporters.
From 2008 to 2017 Apparel Sector has shown 54 percent growth which was tantamount to its great export potential. With genuine support and facilitation, the Apparel Sector can achieve a milestone in its exports, he mentioned.
It was claimed by the APTMA that Gas prices are different in Punjab as compared with other provinces. He clarified that Gas prices are uniformed in all four provinces - Punjab, Sindh, Balochistan and KP ie Rs 600 for Industrial Gas and Rs 1300 for RLNG. However, Industrial Water Tariff in all cities of Pakistan is around approximately Rs 50 to Rs 55 except Karachi wherein it was Rs 242 per 1000 gallons which is discrimination. He urged that industrial water tariff for Karachi should also be uniformed like electricity, gas, petrol and diesel rates.
On this occasion, Tariq Munir, chairman PHMA, Sohail Aziz, chairman PCFA, Muhammad Ovais of PRGMEA, Junaid Makda, Khawaja Usman, Altaf Hussain, Abdul Qadir Bilwani, Aamir Haider Butt, Salman Ishaq and other leading textile exporters also attended the meeting.