JavaScript seems to be disabled in your browser.
You must have JavaScript enabled in your browser to utilize the functionality of this website.

News Clips 16 January, 2016

 Pakistan, Sri Lanka eye $1bn trade ]
[ SECP issued 48 orders for non-compliances in Dec ]
[ Heimtextile fair: Around 2,817 exhibitors likely to take part ]
[ July-November period: Textile machinery import soars to $189.970 million ]
[ APTMA demands imposition of 10 percent RD on yarns, fabrics ]
Pakistan, Sri Lanka eye $1bn trade   [ top ]

Daily Dawn, January 16, 2016
ISLAMABAD: Pakistan and Sri Lanka are striving to boost the bilateral trade to $1 billion from the current $325 million. 

This was stated by the Commerce Minister Khurram Dastgir while inaugurating the three-day single-country exhibition in Colombo, along with his counterpart Sri Lankan Minister for Industry Rishad Bathiuddin on Friday. 

An official statement of the ministry said that the exhibition would showcase Pakistani brands in engineering, auto parts, agro food, textile and clothing, designer wear, handicrafts and traditional textiles, cosmetics and herbal products, pharmaceuticals, gems and jewellery, carpets and marble. 

The soft launch of the fair, organised by the Trade Development Authority of Pakistan and the High Commission of Pakistan, was performed by the prime minister in Sri Lanka earlier this month. 

The exhibition is a key step to materialise the target of increasing the bilateral trade to $1bn. 

Negotiations have already started to expand the existing Free Trade Agreement (FTA) to trade in services and investment. 

Technical level meetings have detailed out the basic framework for inclusion of new subjects in the FTA. 

Pakistan has also sought to enhance the export quota of rice to Sri Lanka from the current 6,000 to 10,000 metric tonnes, respons ceremony, Dastgir said that the fair would carve out new business partnerships, strengthen the old ones and enhance trade and commerce between the two countries. 

SECP issued 48 orders for non-compliances in Dec   [ top ]

The Nation, January 16, 2016
ISLAMABAD - The Securities and Exchange Commission of Pakistan’s (SECP) Corporate Supervision Department has concluded adjudication of 48 proceedings against the listed and non-listed companies in December 2015.

Subsequently, Orders were issued against their chief executives, directors and auditors for violating certain provisions of the Companies Ordinance 1984 and to impose penalties.

The majority of these proceedings pertain to the failure of companies to hold annual general meetings, non-holding of directors meetings, failure in filing quarterly accounts by the listed companies, disclosing the Directors’ interests to the members, complying with legal requirement relating to security deposits and provident fund, non-maintenance of functional websites and non-disclosure of statement of material facts.

The Corporate Supervision Department initiated 13 new proceedings by issuing show-cause notices to listed and unlisted companies. It has also issued four direction notices to companies for ensuring appointment of share registrar within 30 days. Moreover, approval was granted to a listed company for issuance of its share at par and appointed Cost Auditor in the matter of 3 listed companies.

Further an order was issued against the directors of a listed company for misusing their powers by allowing abnormal credit period for recovery of a debt from the son of one of company’s director.

The director had not disclosed the conflict of interest (the relationship) in company’s accounts. The company was also directed to take steps for recovery of all the outstanding amounts, including interest/mark up and furnish auditors’ certificate.

In another instance, the chief executive of a listed company was held liable for not making payments to the Company as per liabilities recorded in the books of the Company and non-compliance of Commission’s directions. Fine was was imposed on the CEO of listed company.

In a listed company, fine was imposed on the directors for not complying with the Commission’s directions to take steps to remove qualifications of auditors on the financial statements.

Moreover, an order was issued against a non-listed company for submitting accounts which were purportedly audited, but upon verification those were not found to be audited by the auditor mentioned in the accounts report attached.

The said auditors have also denied having audited those accounts.

Penalty on directors of the Company was imposed under section 492 of the Ordinance and they were directed to file the duly audited Accounts with the Registrar.

Directions have been issued to both listed and unlisted companies to maintain their respective websites strictly in accordance with the requirement of the notifications issued by SECP.

Moreover, actions against the auditors of companies were concluded through warning and penalty orders. A winding-up order was issued authorizing the Registrar to present a petition for winding-up of a listed company. 

Heimtextile fair: Around 2,817 exhibitors likely to take part   [ top ]

Business Recorder, January 15, 2016
Heimtextile is one of the largest home textile fairs in the world. This year around 2,817 exhibitors from around 68 countries would be participating in the event and like every year, more than 60,000 buyers from around 130 countries will be expected to place orders in the event. The event will be held till 15th January 2016 Exhibitors from Karachi, Lahore, Faisalabad and other important textile producing cities of Pakistan will be participating in the event. 

July-November period: Textile machinery import soars to $189.970 million   [ top ]

Business Recorder, January 15, 2016
The country's import of textile machinery grew to $189.970 million in July-November 2015-16, up by 6 percent, official statistics said. Growth in textile machinery import now stands at $9.984 million in July-November 2015-16 as compared to their import of $179.986 million in July-November 2014-15, Pakistan Bureau of Statistics showed. 

Import of construction and mining machinery shot up to $146.806 million in July-November 2015-16 as compared to their import of $112.446 million in July-November 2014-15, higher by 21 percent or $34.36 million. In November 2015, the country's import of construction and mining machinery soared to $24.686 million from $12.866 million in November 2014, up by 92 percent or $11.82 million. 

APTMA demands imposition of 10 percent RD on yarns, fabrics   [ top ]

Business Recorder, January 14, 2016
All Pakistan Textile Mills Association (APTMA) has sought imposition of 10 percent regulatory duty on the import of yarns and fabrics to support the domestic trade. Sources told Business Recorder Wednesday that APTMA has sent a written request to ministry of finance for imposition of regulatory duty on these two products, imports of which witnessed some 45 percent surge during last three years. 

As per supportive statistics provided by APTMA to ministry of finance, during the last fiscal year 2014-15, yarns (chapter 54-55) and fabrics (chapter 54-55) amounting to Rs 92.217 were imported compared to Rs 63.416 billion in FY13. They said presently, a large quantity of yarns and fabrics is being imported from India, capturing the share of domestic market. Therefore, APTMA demands regulatory duty on the import of yeans and fabrics to protect the domestic industry and trade. 

According to a letter written by Tariq Saud, Chairman APTMA to Muhammad Ishaq Dar, Federal Minister for Finance, due to high cost of doing business, basic textile industry particularly spinning, weaving and processing sub-sectors have been rendered uncompetitive both in the international and domestic markets. The import of synthetic yarns and fabrics for consumption in the domestic commerce is gradually increasing and now import of man-made fibre yarns and fabrics under Chapter 54 & 55 of the customs tariff (filament & staple fibre) have made threatening inroads in the domestic commerce, he added. 

Import data of the Federal Bureau of Statistics (FBS) revealed that import of yarns and fabrics have increased in quantity by 37 percent and 56 percent, respectively from 2012-13 to 2014-15, he maintained. According to chairman APTMA, surge in import of yarns and fabrics in Pakistan is adversely affecting the domestic industry resulting in closures of mills producing yarns and fabrics meant for domestic consumption. In view thereof, he requested the finance minister to provide the domestic textile industry with a level playing field to compete with subsidised imports by imposing regulatory duty @10 percent. 

He hoped that imposition of RD will enable the domestic industry to withstand the challenge of dumped imports. Previously, in October last year, APTMA urged the federal government to put the import of cotton and synthetic-based Indian textile goods, including all types of yarns, fabric and garments, on the Negative List as unchecked onslaught of imported and smuggled textile goods has created a crisis situation in the textile industry. 

Accordingly, the federal government imposed 10 percent RD on imports of cotton yarn, grey and processed fabric, particularly from India, to protect the domestic industry. Sources said India is providing safeguards to its to textile industry and creating hurdles in the way of level playing field by having introduced Pakistan-specific duties, reaching highest range of 100 percent.