Pakistani government urged to remove import duties on leather

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) recently urged the government to remove various duties on the import of leather levied under different statutory rules and orders and quarantine requirements on import of raw hides and skins. A delegation from Pakistan Tanners Association (PTA) recently apprised FPCCI of its problems.

Additional regulatory duty on the import of various basic tanning chemicals and quarantine requirement are hampering the productivity of the leather sector, which is ultimately affecting exports, said FPCCI president Ghazanfar Bilour.

Tanning is the second largest export earning sector in Pakistan. The sector needs subsidies in lab testing, matching grant for setting up effluent treatment plants, slashing down the rates of duty drawback on export of finished leather goods and accelerating the process of releasing duty drawback, sales tax and income tax, a Pakistani newspaper quoted Bilour as saying.