Islamabad: Dawlance Chief Executive Officer (CEO) Umar Ahsan Khan has requested the government to introduce a five-year export policy for the country’s engineering sector by offering incentives to increase non-traditional exports, a news source reported.
Currently, Pakistan’s primary export pool consists of textile and surgical goods. A new policy is required to transform that trend and engineering good has a potential of nearly USD 10-12 billion.
He said that in the engineering sector, the total tax
amounts to something as high as 40% including the 29% corporate tax. He said
such taxes make exports uncompetitive in the region when compared with prices
of products sold by Thailand, India, and Bangladesh.
He said that 20 years ago, Turkey’s export
volume was equal to that of Pakistan but Turkey kept improving the quality of
its products. Now the volume of Turkish exports is four times higher than
Pakistan, he added.
