ByThe Federal Board of Revenue (FBR) came under scrutiny during a Special Investment Facilitation Council (SIFC) meeting for alleged misuse of the Export Facilitation Scheme (EFS), leading to revenue losses. Business representatives from Karachi, including Sindh Industrial Estate (SITE) members and the All Pakistan Textile Mills Processing Association (APTMPA), criticized procedural flaws that allowed ineligible exporters to secure EFS authorizations. They highlighted the need for stricter adherence to the Statutory Regulatory Order (SRO), which mandates that only exporters with at least 60% of production exported over two years qualify for Category-A authorizations. A faceless authorization system was proposed to curb agent involvement, which was alleged to facilitate illegal gains.
FBR officials admitted ongoing investigations into the scheme’s misuse and committed to consulting business groups for corrective actions. The SIFC instructed the FBR to present progress on addressing these irregularities by January 25, 2025. Broader administrative issues, including SITE industries’ electricity outages, poor infrastructure, and security challenges, were also discussed. The Sindh government pledged improvements, with the Chief Secretary prioritizing road and water supply enhancements and bolstering security measures in collaboration with law enforcement. K-Electric was urged to engage business stakeholders to resolve energy issues promptly.
A proposal to establish a SITE Management and Development Company gained preliminary approval, with the Commerce Ministry tasked to collaborate with the Sindh government and report by January 15, 2025. Additionally, SITE industries requested a special allocation from the Export Development Fund (EDF), which the Commerce Ministry agreed to consider. Plans to modernize textile export facilities were also discussed, including feasibility studies for installing combined effluent treatment plants, with findings due by January 25, 2025.
Senior citizens’ challenges with biometric tax registration were addressed, leading to the formation of a working group comprising the State Bank of Pakistan, NADRA, FBR, and PSW to develop mobile biometric solutions. Further requests included duty waivers for importing biomass boilers to support the textile sector, which the FBR was tasked to assess by January 20, 2025.
Prominent business leaders, including Jawed Bilwani, Zubair Motiwala, and Suleman Chawala, attended the meeting. It concluded with assurances of collaborative efforts to tackle industrial challenges and boost productivity.
