Rs. 70 billion export Package by Government

Rs. 70 billion export Package by Government
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PM Nawaz Sharif to announce the export package worth Rs70 billion aimed at arresting the trend of falling exports in the remaining months of the current fiscal year .

The package is worked out in a way to minimise the impact of the 8 per cent rebate that the Indian government gives to its exporters to compensate for falling prices of commodities in the international market .

In the first half of 2016-17, export proceeds fell to $9.91bn from $10.31bn a year ago, Pakistan Bureau of Statistics (PBS) data shows.

Pakistan’s exports fell to $19.5bn in 2015-16 from $25bn in 2013-14.

The proposed Prime Minister’s Trade Enhancement Initiative covers raw materials used in five value-added sectors, namely textiles, leather, sports, carpets and surgical goods.

________________________________________The government will give a rebate of 3pc to 6pc on export proceeds of the value chain. The lowest rate will be on the export of primary or low value-added products while the highest rate will apply to value-added products.

In the textile and clothing sectors, the rebate will be 3pc and 4pc on the export of yarn and fabric, respectively.

In the value-added sector, the government will give a 6pc rebate on the exports of readymade garments and 5pc on home textiles. “This package has no condition such as a percentage increase in exports over the last year,

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