Pakistan’s leading export groups have raised serious concerns over the recent budget changes. They say these changes will damage the country’s $11 billion value-added export sector. The sector includes garments, sports goods, and leather products. It contributes about one-third of national exports and is already under pressure from rising costs.
The exporters demanded an urgent meeting with Prime Minister Shehbaz Sharif. Several trade bodies, including PRGMEA, SCCI, and PHMA, joined this appeal. They called for restoring the Final Tax Regime (FTR) and the Export Facilitation Scheme (EFS) to their earlier forms. They believe these changes are making it harder to do business and losing buyers’ trust.
Business leaders said the new system adds delays, audits, and paperwork. This especially hurts small and medium exporters. “The old system was simple and predictable,” they said. “Now, exporters face red tape and blocked refunds.” They also criticized the finance minister’s speech for barely mentioning exports.
Exporters warned that the current EFS is stopping access to key raw materials. This hurts production timelines and delivery promises. “Global customers need speed and clarity,” they said. “If we can’t meet deadlines, they’ll go elsewhere.” They fear Pakistan is losing major trade chances while rivals benefit.
The groups said they don’t want subsidies—only fair treatment and policy stability. They asked the PM to meet exporters before finalizing the budget. “Without action, Pakistan’s top source of foreign exchange is at risk,” they stated. They also urged the government to support innovation and move beyond cotton to grow future exports.