The All Pakistan Textile Mills Association (APTMA) has urged Punjab Chief Minister Maryam Nawaz Sharif to suspend a new 0.90 percent infrastructure development cess on imports linked to the province, warning that the levy could increase manufacturing costs and hurt exports.
In a letter dated October 9, APTMA Chairman Asad Shafi said the Punjab Infrastructure Development Cess would raise the cost of raw materials, industrial inputs and machinery for manufacturers operating in the province.
APTMA argued that Punjab-based businesses could face double taxation when imports cleared through Sindh ports are already subject to the Sindh Infrastructure Cess. Applying the Punjab levy to the same goods would add another cost for manufacturers.
APTMA said textile mills import cotton, man-made fibres, dyes, chemicals, spare parts and machinery to manufacture goods for domestic and international markets. An additional levy on these inputs could reduce profit margins and make Pakistani exporters less competitive internationally.
The association also warned that the measure could discourage new industrial investment in Punjab and create cost differences between businesses operating in different provinces.
APTMA asked Maryam Nawaz to intervene urgently and suspend the cess on industrial imports. It also called for Pakistan Single Window to stop collecting the levy until consultations with industry representatives and chambers of commerce have taken place.
The association requested a meeting with the chief minister to explain the potential impact on Punjab’s textile and apparel exports.
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