Textile exporters express concerns over current tax and regulatory policies

ISLAMABAD: Leading textile exporters have voiced apprehensions regarding Pakistan's existing tax and regulatory framework, warning that the current policies are putting the industry at a disadvantage in the global market.

According to representatives from the textile sector, the prevailing tax structure, coupled with regulatory hurdles, is undermining the competitiveness of Pakistani textile exports. Industry leaders highlighted that high input costs, delayed refunds, and complex compliance requirements are among the major challenges faced by exporters.

The exporters pointed out that the sector is already grappling with rising energy costs and fluctuating raw material prices. They emphasized that the lack of a supportive policy environment is making it increasingly difficult for Pakistani textiles to compete with regional competitors, particularly those from Bangladesh, India, and Vietnam.

During discussions with government officials, textile industry representatives urged authorities to streamline tax procedures and expedite the processing of refunds. They also called for a review of regulatory policies to reduce unnecessary barriers and facilitate smoother export operations.

Exporters warned that if these issues are not addressed promptly, Pakistan risks losing its share in key international markets. They stressed the importance of a stable and predictable policy framework to attract investment and sustain growth in the textile sector, which remains a major contributor to the country’s exports and employment.

Industry stakeholders have requested the government to engage with exporters in policy formulation and to implement measures that would enhance the sector’s global competitiveness. They reiterated that resolving these concerns is crucial for maintaining Pakistan’s position as a leading textile exporter.