Karachi: Duty Drawback of Taxes (DDT) is a part of the Prime Minister’s Export Package. Introduction of DDT has boosted the export market which was seeing a critical decline before. It was extended and approved by the previous government. However, the notification from the Caretaker Government is still pending.
Value added textile associations like PHMA has requested the Caretaker Government to bring back the association’s role as they represent the exporters and are directly elected by them. The Ministry of Textile had removed this without any consultation.
The function of the association was to check whether the data provided by the exporting units are authentic or not and would certify the same. They were responsible for checking documents, verify exporter’s claims and certify them, Lading bill to confirm shipment, verification of PRC and much more. Due to this removal, the pressure on the banks has increased as now they have to perform the association’s job. Thus, there have been many complaints regarding the issue.
According to the exporters, this has caused delay in their work as the banks are ending up making mistakes, and the former are facing the brunt. The mistakes have exponentially increased as they are not qualified and skilled enough to perform the association’s function. Moreover, the banks have various other functions to perform which results in further problems.
According to PHMA, the verification of documents and checking has been removed with the removal of the association’s role. Hence, they request for the restoration of the same when the caretaker government notifies for the extension.