President Pakistan Businessmen and Intellectuals Forum (PBIF), President AKIA, Senior Vice Chairman of the Businessmen Panel of FPCCI and former provincial minister Mian Zahid Hussain on Monday welcomed Rs 180 billion package announced by Prime Minister Nawaz Sharif terming it as a timely move to boost exports.

Textile and other exports industries were asking for an incentive package as they were losing competitive edge in the international market because of high cost of production, he said.

Mian Zahid Hussain said that package should be implemented without delay to boost exports and improve competitiveness of export sector as it will push exports by 2.5 to 3.00 billion dollars.

He said that government had earlier announced many packages including reduced cost of energy, reduced taxes etc. which had a positive impact.

The business leader said that the package which will be effective for one and a half year will support industries like textile, clothing, carpet, surgical instruments and sports goods while the major beneficiary will be the textile sector responsible for 58 percent of the export earnings.

He said that abolition of import duty and sales tax on import of cotton will help spinning sector and government should also reduce taxes on import of yarn to boost clothing sector.

Mian Zahid Hussain said that 87 percent of the cash subsidy will go to the units in the textile sector for good results which will improve their competitiveness against rival nations.

He said that the impact of package will be temporary therefore government should frame a long-term policy following the examples of India, Bangladesh, Vietnam and China etc.

The package would strengthen export sector and boost exports while creating employment opportunities.