REAP seeks zero rated facility to exporters

204

Staff Reporter

Lahore—The Rice Exporters Association of Pakistan (Reap) has urged Prime Minister Nawaz Sharif, Finance Minister, Ishaq Dar, and the Federal Board of Revenue to grant zero rated facility to rice export sector and exempt them from sales tax and income tax on utilities for rice export. Chairman Reap Chaudhry Muhammad Shafique over a meeting with leading rice exporters. The meeting was attended by a large number of member exporters who complained to the chairman about the liquidity problems due to pending refund claims.
The members said that huge amounts are still stuck in refund claims, squeezing finances and causing cash-flow problems. Inviting attention of the Reap Chairman, the members termed the liquidity crunch a major stumbling block in the way of improving exports. They said rice exporters are facing financial difficulties after withdrawal of zero rating facility and their millions of rupees have been stuck up.
Chaudhry Shafique appreciated Prime Minister Nawaz Sharif, for accepting demand of zero rated regime restoration for five export sectors, and demanded inclusion of rice exporters in Zero rated regime also. The association appreciated positive gesture of government which will save the exporters from a lot of troubles but demanded immediate inclusion of rice exporters in this Zero Rated Facility. Five export sectors include- Textile, Leather, Carpets, Sports Goods and Surgical Instruments. He said that rice exporters also contribute major share in export earnings and are providing employment to millions.
Ch Shafique said that rice export sector is the 2nd largest export commodity, but despite earning of about $2 billion valuable foreign exchange annually, rice exporters are not given the benefits and other commodities’ exporters are being facilitated.