Islamabad: The Pakistan Carpet Manufacturers and Exporters Association (PCMEA) recently met with Federal Minister for Commerce Jam Kamal Khan to seek relief from customs tariffs that are impacting the survival of the sector. The delegation, led by Abdul Latif Malik, Usman Ashraf, and Riaz Ahmed, highlighted the challenges faced by the industry and called for immediate government intervention.
According to Press Information Department, Abdul Latif Malik explained the intricate production process of Pakistani carpets, which involves sending raw materials to Afghanistan and bringing back unfinished carpets to Pakistan for final processing before export. Despite exporting 99% of these carpets, the industry does not receive custom duty exemptions from the Federal Board of Revenue. This lack of incentives is affecting the industry’s competitiveness in the global market.
The PCMEA emphasized that customs duties at the Afghan-Torkham border are forcing many small and medium-sized enterprises to close. Malik urged for the removal of duties on semi-finished carpets, highlighting the need for government support to sustain the industry. Minister Jam Kamal Khan assured the association of his support, acknowledging the sector’s potential to enhance exports. He emphasized promoting “Made in Pakistan” products and addressing intellectual property issues, proposing a meeting with the FBR and other stakeholders to explore solutions. Khan reiterated his commitment to fostering growth in the carpet manufacturing industry and aiding SMEs. The PCMEA hopes the government’s intervention will help the sector regain its competitive edge internationally.