Suspension, blacklisting of exporters undermining towel exports, says TMA

The Towel Manufacturers Association of Pakistan says FBR notices and proceedings to suspend or blacklist exporters are disrupting operations and putting towel export orders at risk. Business Recorder reported that TMA argues exporters should receive prior notice and a fair chance to respond, particularly when action relates to suppliers who were registered taxpayers when transactions took place.

TMA says the towel and home-textile sector earns about USD2.2 billion in foreign exchange each year and warns that registration suspensions can impede raw-material purchases, production and shipments. The association also cites delayed sales-tax refunds as a source of liquidity pressure, and has urged FBR to clear outstanding refunds and review the proceedings. It is seeking restoration of the “no payment, no refund” mechanism for export-oriented sectors.