The Central Board of Revenue (CBR) is all set to stamp its approval for Duty and Tax Remission Rules for Export (DTRE) scheme for the import of synthetic fibres. The scheme would allow the export of blended yarn and its made ups zero-rated.
The Prime Minister had instructed CBR to find a way to make export of blended yarn and its products zero rated which had been demanded by the textile industry.
CBR was also contemplating inclusion of import of synthetic fibres in DTRE scheme with offer of fixed rebate to exporters to sort out the issue. But textile spinners are not ready to compromise for anything less than DTRE.
The removal of synthetic fibres from DTRE scheme made Pakistan's blended yarn and its products 6.5 percent dearer compared to their competitors such as Thailand and India.
In the meantime, National Tariff Commission has launched an investigation against nine synthetic fibres suppliers belonging to three South East Asian nations after a complain was filed by local synthetic fibre manufacturers.
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