MULTAN:Pakistan Cotton Ginners Association (PCGA) has lauded the abolition of 17 percent General Sales Tax (GST) on cotton cake and cotton seed and calling it a revolutionary step, saying the decision would have a positive and far-reaching impact on the national economy.
PCGA Chairman Sohail Mahmood Harral, while addressing a press conference here on Friday said, that the decision of the government would be helpful for improvement of economy, welfare of farmers and revival of ginning sector.
On this occasion, Haji Muhammad Akram, Malik Talat Sohail, Chaudhry Waheed Arshad, Asim Saeed Sheikh, Mian Rashid Mahmood, Chaudhry Khalid Bashir, Rao Sadruddin and Mazhar Shoaib Khan were present.
He said that cotton was the backbone of the country’s economy. Prime Minister Shahbaz Sharif, Finance Minister Muftah Ismail, Water Resources Minister Khursheed Ahmed Shah, Food Security Minister Tariq Bashir Cheema, Advisor to the Government of Pakistan Sheikh Fayyaz-ud-Din and MNA Kheal Das had played a significant role in eliminating GST on cotton cake and cotton seed on which association was deeply grateful.
The country’s economy depends on cotton and government’s decision will lead to a dramatic increase in GDP (growth rate) and foreign exchange reserves, he added.
There will be a significant reduction in the import bill for edible oil and to increase the export of value added textiles and to provide employment.
The seasonal value of cotton sticks was Rs 300 billion and the government’s decision would lead to an increase in cotton production.
Haji Muhammad Akram said that with the decision of the government, farmers would be attracted towards increasing the production of cotton.
Malik Talat Sohail said that the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) played an important role in the decision of the government.
Asim Saeed Sheikh said that the decision would prove to be the most important for the survival and restoration of cotton.
Group Chairman Haji Muhammad Akram presented bouquet and congratulated PCGA Chairman Sohail Mehmood Harral, Chaudhry Waheed Arshad, Malik Talat Sohail and others.