Duty proposal on leather exports causes controversy
Chairman of the Pakistan Tanners' Association (PTA), S.M. Naseem, has reacted angrily to proposals made by president of the Sialkot Chamber of Commerce, Shaikh Abdul Waheed Sundal, to either impose a total ban on the export of wet blue or impose an 80% export duty on such products.
Mr Naseem stated that the issue of wet blue exports had already been discussed and analysed by all the four leather sector trade associations which led to the introduction of a 20% duty on exports of raw and wet blue hides and skins in September 2005. He added that he viewed the new proposal as “conflicting” and “unwarranted”, especially in view of the fact that such exports have actually declined in recent times.
He also criticised the decision to announce the proposal to local media before holding discussions with the relevant bodies that represent the industry or considering the long-term impact such actions would have on the domestic leather sector.
