Pakistan Suspended Textile And Garment Industry

　 The federal government of Pakistan has suspended subsidies for its textiles and clothing industry in order to control its budgetary expenditure from 2011 to 2012.

Pakistan textile and clothing industry subsidy scheme is from 2009 to 2014 in Pakistan 5 years. Spin Part of the policy. But according to the national budget allocation for the fiscal year from July 1, 2011 to June 30, 2012, the Pakistani government did not plan to increase its budget expenditure to its textiles and clothing industry.

The related plans of the textile and clothing industry affected by Pakistan include support subsidy scheme for textile industry investment case, local tax rebate scheme, R & D subsidy scheme, VAT reduction, and other textile policies and measures.

Pakistan textile minister Shahid Rasheed has confirmed that the local tax rebate scheme (DLTL) will be abolished in June 30, 2011.

According to the Pakistani textile policy, the government of Pakistan has made its textiles in the past two years. Ready-made clothes The total budget allocated to the industry is 82 billion rupees (US $957 million), while the budget approved tax rebates amount to only 17 billion 500 million rupees (US $204 million).

Wasim Latif, chairman of the Pakistan Textile Exporters Association (PTEA), warns that if the DLTL tax rebate scheme is not extended, Pakistan's textile exports will decline. The subsidy measures are the key to help Pakistan enterprises maintain competitiveness in the international market.

According to the 5 year national textile policy announced by Pakistan in 2009, the purpose is to make it textile The export volume of garments will reach US $25 billion by 2015.