Latest news with #PYMA
Express Tribune
2 days ago
- Business
- Express Tribune
PYMA rejects 'black laws' in Finance Bill
Yarn Merchants Association has pointed out that the local manufacturers are still using outdated machines, which are not energy efficient and such energy losses are built into yarn prices. photo: file Listen to article The Pakistan Yarn Merchants Association (PYMA) has categorically rejected the inclusion of Articles 37-A and 37-B in the Sales Tax Act, recently introduced under the federal government's Finance Bill. In a statement issued on Wednesday, the association made a direct appeal to Prime Minister Shehbaz Sharif, Federal Finance Minister Muhammad Aurangzeb, and Federal Board of Revenue (FBR) Chairman Rashid Mehmood Langrial, calling for the immediate withdrawal of what it has described as "black laws" that have raised alarm across Pakistan's business community. PYMA Chairman Muhammad Saqib Goodluck, while voicing the concerns of yarn traders and related stakeholders, stated that these new legal provisions would open the doors to unchecked harassment and intimidation of legitimate businesses. He said that empowering FBR officials with wide-ranging discretionary powers under Articles 37-A and 37-B is unjust but sends a negative signal to entrepreneurs and industrialists already grappling with inflation, high utility costs, and uncertain policy environments. "If the government is genuinely serious about increasing tax revenues, it must create an environment that encourages businesses to grow and prosper," Saqib Goodluck asserted. "Thriving businesses contribute more to the national exchequer. But policies that stifle entrepreneurship will only shrink the tax base and hurt the economy." He further stated that these laws portray business owners as suspects instead of law-abiding citizens, warning that actions based merely on suspicion erode the principles of fairness and justice. The statement added that, calling for a change in direction, the PYMA chief urged the government to introduce policies focused on economic growth and improving the ease of doing business. "Such measures will help ensure industrial sustainability, generate employment, and ultimately strengthen the national economy," he concluded.
Business Recorder
2 days ago
- Business
- Business Recorder
PYMA rejects inclusion of Articles 37-A, 37-B in ST Act
KARACHI: The Pakistan Yarn Merchants Association (PYMA) has categorically rejected the inclusion of Articles 37-A and 37-B in the Sales Tax Act under the recent Finance Bill. In an appeal to Prime Minister Shehbaz Sharif, Finance Minister Muhammad Aurangzeb, and FBR Chairman Rashid Mehmood Langrial, PYMA has urged the immediate withdrawal of these controversial provisions, which have sparked serious concern across the business community. PYMA Chairman Muhammad Saqib Goodluck criticized the new measures, stating that they represent 'BLACK LAWS' that will lead to harassment and undue pressure on legitimate businesses. He emphasized that empowering FBR officials with excessive authority through these articles is unjust and hostile to business interests. 'If the government truly wants to enhance tax revenues, it should foster a supportive environment that encourages business growth, not one that breeds fear and mistrust,' Saqib Goodluck said. 'Thriving businesses contribute more to the national exchequer. But policies that stifle entrepreneurship will only shrink the tax base and hurt the economy.' Copyright Business Recorder, 2025
Business Recorder
23-06-2025
- Business
- Business Recorder
PYMA slams duty structures, policy ambiguities in federal budget
KARACHI: Muhammad Saqib Goodluck, Chairman of The Pakistan Yarn Merchants Association (PYMA), has risen significant concerns regarding various duty structures and policy ambiguities presented in the Federal Budget 2025–26 that are adversely impacting the textile sector, particularly small and medium enterprises (SMEs). In a communication to the government and anomaly committee, the PYMA Chairman urged immediate action to address key concerns hindering transparency, competitiveness, and the long-term sustainability of the domestic textile industry. He noted that the budget does not provide adequate clarity on the policy distinctions between commercial and industrial imports. He emphasized that industrial imports are subject to only a 1% income tax, while commercial imports face a significantly higher rate of 3.5%. Our calculations confirm that the overall duty differential between industrial and commercial imports is approximately 5.5%, including sales tax value addition, a disparity that does not justify the resulting administrative burdens and market distortions. He underscored that prior deliberations had resulted in a shared expectation that equal treatment would be ensured for both sectors. Saqib Goodluck emphasized that Draw Textured Yarn (DTY) of polyester (HS Code: 5402.3300) is already subject to an average anti-dumping duty of 13.84%, imposed on dated 17th June by NTC, 2025. In light of this existing protection for the domestic industry, PYMA considers the continuation or imposition of any additional regulatory duty on DTY to be unjustified. PYMA strongly recommends that the regulatory duty on DTY be reduced to 0%. Regarding customs duties, the PYMA Chairman pointed out the structural imbalance, wherein both raw materials (PFY), grey fabrics are subject to a 10% duty, while bleached or finished articles attract 15%. This cascading duty structure disproportionately impacts core sectors such as knitting, weaving, twisting, and finishing - particularly affecting SMEs. PYMA urged the government to promptly rationalize the duties on all types of fabrics (finished, semi-finished, and grey fabrics currently subject to a 15% duty); to justify the cascading of polyester value chain items. PYMA Vice Chairman, Altaf Haroon also drew attention to the discrepancy in duty rates applied to Partially Oriented Yarn (POY; HS Code: 5402-4600) and Fully Drawn Yarn (FDY; HS Code: 5402-4700). These yarns are not produced domestically and undergo processing similar to that of fibre. While the customs duty on fibre has been reduced from 7% to 5%, PYMA appealed for equal treatment of POY and FDY by aligning their customs duty with that of fibre at 5%, in the interest of fairness and consistency. Saqib Goodluck concluded by stressing that timely resolution of these issues is essential to maintaining a stable, transparent, and globally competitive textile sector. PYMA reaffirmed its commitment to working collaboratively with policymakers to ensure that fiscal and trade policies accurately reflect industry needs and ground realities. Copyright Business Recorder, 2025
