Daily Times

KARACHI: Automation of the refund system will alleviate concerns of the business community and reduce load on Federal Board of Revenue (FBR).

This refund system would end delay in payments and trigger exports, which are under pressure for last some years on less liquidity and on international recession.

The representatives of export-oriented sectors including textile, textile garments, leather goods, surgical goods, sports and developing sectors like marble and jewellery, said that the introduction of this system would lessen complaints, ensure transparency and boost exports.

They said sometimes refund payment orders (RPO) are issued but exporters are not paid in time, which hit their liquidity and cost of doing business.

The liquidity problem has taken toll on many exporters and some have no option but to get costly credit from market to fulfil commitments, they added.

Agha Saiddain of Pakistan Tanners Association, Surgical Instruments Manufacturers Association of Pakistan Chairman Ashraf Raza, Pakistan Apparel Forum Chairman Jawed Bilwani, Sanaullah Khan of Pakistan Marble Mining Processing Industry and Exporters Association, Ibrahim Qureshi of All Pakistan Business Forum and others said that the installation of software could make process of the refund claims and transfer money in the account of exporter easily.

If transactions through bank cheques, credit and debit card can be updated within seconds, the same can be applied to export refunds, they said.

Many exporters were fighting a losing battle in the global markets due to stiff competition and liquidity and high cost of doing business is the obstacle.

The issues relating to providing a level playing field to the exporters in terms of cost of energy, labour and local levies should also be resolved at the earliest to enable the exporters to compete in the global market with competing nations.