Pakistan’s Ministry of Commerce has sanctioned Rs10 billion for the textile, apparel and other export-oriented sectors under duty drawback and technology upgradation schemes, in a move aimed at improving industrial liquidity and supporting the country’s export growth. Minister for Commerce Jam Kamal Khan announced the allocation on Saturday, stating that the ministry had sanctioned Rs10,000 million for textiles, apparel and other export sectors through the relevant duty drawback and technology upgradation schemes. The funding is expected to provide financial support to export-oriented industries while helping businesses strengthen their production capabilities and competitiveness in international markets.
The sanctioned amount includes support under duty drawback mechanisms such as the Duty and Tax Remission for Export (DTRE) scheme and the Duty Drawback of Local Taxes and Levies (DLTL) scheme. These schemes are designed to reimburse exporters for local taxes and duties paid on export consignments. The government considers such payments to be legitimate reimbursements of duties and taxes already paid by exporters rather than direct incentives. According to Jam Kamal Khan, the allocation is expected to improve liquidity across export-oriented industries. Better liquidity can provide businesses with greater capacity to manage their operational requirements and maintain production, particularly in sectors that depend heavily on working capital and export-related activities.
The funding will also support technology upgradation within the targeted industries. Investment in updated technology is intended to help exporters improve production capabilities, strengthen efficiency and enhance the quality and competitiveness of their products. For Pakistan’s textile and apparel industries, technological improvements can play an important role in maintaining access to international markets and responding to changing global demand.
The textile and apparel sectors remain important components of Pakistan’s export base, while other export-oriented industries also depend on government measures that facilitate trade and support production. By allocating funds through the duty drawback and technology upgradation mechanisms, the Ministry of Commerce is seeking to address financial pressures faced by exporters while encouraging investment in industrial capabilities.
Jam Kamal Khan expressed hope that the sanctioned funds would help improve industrial liquidity and enable firms to enhance their export performance. He said the allocation would provide much-needed liquidity support to export-focused businesses and facilitate technological upgradation, allowing exporters to strengthen their position in international markets.
The initiative forms part of the government’s broader focus on strengthening Pakistan’s export sectors and creating conditions that can support sustainable export growth. Improving access to reimbursement mechanisms and facilitating technological investment are being positioned as measures to help industries remain competitive while expanding their presence in global markets.
The Rs10 billion allocation is therefore expected to provide support on two key fronts: easing liquidity pressures for exporters through duty drawback mechanisms and encouraging technological improvements across targeted industries. The Ministry of Commerce’s move comes as Pakistan continues efforts to strengthen its export base and improve the competitiveness of domestic industries in international markets.
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