Navigating the 19% Tariff Maze: What It Means for Pakistan’s Textile Exports
By: Muhammad Hasan Shafqaat CEO, Pakistan Textile Council (PTC)03rd August 2025While there is some clarity regarding the Tariffs, clouds of...
The Pakistan Textile Council (PTC) has criticised the Federal Board of Revenue’s latest amendments to the export facilitation scheme (EFS), warning that the exclusion of critical raw materials like cotton and yarn could severely damage the country’s textile and apparel exports.
The Pakistan Textile Council (PTC) strongly opposed recent tax changes by the Federal Board of Revenue (FBR). The changes were made through SRO 1359(I)/2025 under the Export Facilitation Scheme (EFS). PTC said removing cotton, yarn, and grey cloth from EFS will hurt textile exports. These materials are key raw inputs for Pakistan’s textile industry.
The Pakistan Textile Council (PTC) has voiced serious concern over the recent amendments notified by the Federal Board of Revenue (FBR) through SRO 1359(I)/2025, which, if implemented in their current form, will critically damage Pakistan’s textile and apparel exports at a time when the sector is already under immense external pressure.
In a press statement released on Saturday, PTC said that the amendments notified by the FBR through SRO 1359(I)/2025, which, if implemented in their current form, “will critically damage Pakistan’s textile and apparel exports at a time when the sector is already under immense external pressure”.
PTC, which accounts for over 30% of the country's textile and apparel exports, has submitted a formal set of objections and recommendations to the FBR in response to SRO 1359(1)/2025 dated July 29, 2025.
The new tariff, added on top of existing duties, is seen as significantly higher than expected, undermining hopes for improved trade relations and market share, particularly in comparison to regional competitors such as Vietnam and Bangladesh.
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