ISLAMABAD (January 25 2004): Peshawar Collectorate of Central Board of Revenue (CBR) has informed ghee exporters that they can not avail DTRE facility for Afghanistan as the matter is under consideration in Islamabad for some changes in the scheme.

An exporter told Business Recorder on Saturday that he was denied DTRE facility for his shipment of ghee to be exported to Afghanistan.

The exporter was told by Peshawar Collectorate that since the matter has been referred to CBR authorities in Islamabad, DTRE facility was not available for ghee consignments in the case of Afghanistan till final decision.

The exporters have taken the Peshawar Collectorate measure as a serious problem as majority of them were preferring the DTRE facility over rebate mechanism, which is again a nuisance for them due to its long and complex procedure.

The exporters argue that withdrawal of DTRE facility for ghee export for Afghanistan would adversely hit the government of Pakistan's efforts to take the trade between Islamabad and Kabul to one billion dollars per annum.

It may be noted that the rebate on ghee consignments exported to Afghanistan has been a bitter controversy between the CBR and exporters. The exporters allege that CBR is delaying payment of rebate to ghee exporters.

It has been the second big hit to DTRE scheme in the case of Afghanistan within the last two months.

Firstly, the Peshawar Collectorate had withdrawn the facility from ghee exporters of physical verification from Jalalabad consulate of their consignments to avail DTRE facility.

They were directed to approach Pakistan embassy in Kabul for verification of their consignments of ghee if they were interested to enjoy the scheme.

The CBR authorities were of the view that the restriction of verification of ghee consignments from Pakistan embassy in Kabul was meant to make its comeback into Pakistan uneconomical and discourage smuggling. However, the exporters have termed the measure as negation of the trade policy.

This has created bad feelings among the ghee exporters. The matter had taken new turn early this month when one of the aggrieved exporters challenged Peshawar Directorate's decision before the court of law to seek remedy.

The government had introduced DTRE scheme for exporters, which provides an easy way out to both CBR and exporters as its basic theme was 'No duty no drawback' regime.

Courtesy Business Recorder