RECORDER REPORT

LAHORE: Federal Minister for Commerce, Khurram Dastgir Khan has announced the revival of 75 percent refund to the tanneries from Export Development Fund to share leather testing charges from international labs.

He made this announcement while formally inaugurating the 3rd Pakistan Mega Leather Show (PMLS) being held here at the International Expo Centre on Saturday. Trade Development Authority Pakistan (TDAP) Chief Executive S.M. Munir, Director General Mian Riaz Ahmed, Pakistan Tanners Association (PTA) Chairman Anjum Zafar, Pakistan Footwear Manufacturing Association (PFMA) Chairman Javed Iqbal Siddiqui, Pakistan Leather Garments Association Chairman Atif Ashraf, European Union's Deputy Ambassador and other prominent business leaders were also present on the occasion.

It is notable that the tanneries were previously given 75 percent refund in Trade Policy (2012-15) to get leather tested from the international laboratories but this incentive was discontinued.

While responding to the demand for abolition of 4 percent import duty on the raw hide and skin, the Commerce Minister promised to take up the issue with the Federal Board of Revenue/ Ministry of Finance so that it could be withdrawn to slash the input cost. Talking about the harassment of businessmen by issuing them audit notices, the minister assured that he would take up the issue with the ministry concerned.

Khurram Dastgir Khan asked the leather sector associations including Pakistan Tanners Association, Pakistan Footwear Manufacturers Association, Pakistan Leather Garments Manufacturers and Exporters Association and Pakistan Gloves Manufacturers and Exporters Association to nominate three representatives each for Pakistan Leather Export Promotion Council. As soon as the nominations are received, the notification to activate the Council would be issued in a week or so, he added.

He said that all the economic indicators showed positive trends during last year, as Pakistan had now become viable and safer place for local and foreign investment. The government not only succeeded to restore country's peace by defeating terrorism and extremism but also managed to overcome energy crisis significantly, he added.

He said Pakistan is being inter-connected with the world through mega project of China-Pakistan Economic Corridor, while democracy has also been strengthened. On completion of 70 years of Pakistan's existence, he mentioned, a campaign would be launched to apprise the international community that Pakistan had considerably been improved and progressed on many counts.

The Minister said that Prime Minister's Special Package of Rs 180 billion for export sector would definitely increase total exports volume of the country. He said that now criticism and debate on free trade agreements (FTAs) should be put to an end, citing that FTAs with Sri Lanka, Malaysia, China and other countries had make huge difference in Pakistan's exports which recorded two to four times increase, while these agreements also helped us to connect with the world.

He said that Pakistani leather had its own standard and classification in the world and to maintain this level, he stressed upon the exporters to stamp their leather goods with 'Made in Pakistan'. He was of the view that Pakistan's rating was now improving fast because of effective and viable economic policies of Prime Minister Muhammad Nawaz Sharif and Federal Finance Minister Ishaq Dar.

He said that Pakistan would manage to bridge electricity demand and supply gap by the end of current year, as the energy projects initiated by the present government had now proved that country would soon get rid of power load-shedding.

The 1320MW Sahiwal coal-fired project had recently been connected with the national grid and first coal-loaded train would reach the project site soon, while LNG projects and hydel projects including Neelam-Jhelum and Tarbela Extensions were in their final stages of completion. Out of US $46 billion investment by China under the CPEC, he mentioned, US $35 billion was being spent on energy projects.

Khurram Dastgir Khan said that in 2013 Pakistan plunged into darkness due to severe energy shortage but due to effective and timely measures of the present government, the country was fast recovering from energy crisis and re-connecting with the world.

He further said that despite all odds, democratic process in Pakistan was taking its roots and getting stronger for which credit definitely went to present elected government that played vital role in restoration of peace; ending energy shortage; attracting huge investments under CPEC and ensuring economic stability. He was of firm belief that Pakistan of 2017 would be far better and much more developed and prosperous than that of 2013.