Islamabad: With an aim to tap the available options for exports through land route to neighbouring countries, including India, Pakistan has allowed duty drawback facility on the export of its local products.
This would facilitate enhanced exports from Pakistan to neighbouring countries like India, China, Afghanistan, Iran and Central Asian Republics (CARs), ‘Daily Times’ quoted Pakistan’s customs officials as saying.
The government would reimburse customs duty paid on the import of raw materials, which would be subsequently used in manufacturing products for exporting to neighbouring countries via land route.
The facility would enable local industries to be competitive and increase their exports to the neighbouring international markets.
This is for the first time that the government has provided duty drawback facility to exporters on export of local products through land route.
Previously, the facility was available only to those exporters who were exporting their products through air transport to neighbouring countries, the official said.
The government had discouraged the facility on export through land route for the fear of re-import or fake exports to the country.
Now the facility has been allowed by foreseeing the good scope of Pakistan’s exports to neighbouring countries. Misuse of this facility would be eliminated through different options available with the government, the official added.