APTMA urges PM to expedite release of consignments of imported cotton

Source: The News International

ISLAMABAD: The All Pakistan Textile Mills Association (APTMA) has submitted a request to the Prime Minister of Pakistan Mr Shebaz Sharif asking for urgent intervention for the release of the imported cotton consignments from ports.

"The industry faces severe challenges due to the illegal actions of the Directorate General of the Department of Plant Protection (DG DPP) Karachi, which has resulted in the prolonged detention of imported cotton shipments at the ports. For the past three to four months, cotton imports from the USA and Brazil have been blocked at the port, leading to significant financial burdens due to escalating demurrage charges, which now exceed Rs50 million."

APTMA highlighted that the ongoing blockage of cotton shipments is causing severe disruptions, leading to escalating demurrage charges and threatening the industry's ability to meet export targets and maintain competitiveness in the global market.

These demurrage charges are being paid in dollars to foreign companies, exacerbating the economic strain on the country. The shipments in question were dispatched under valid import permits.

However, unforeseen delays during transit, which were beyond the control of the importers, have resulted in the shipments arriving after the expiry of the Import Permits. Detailed documentation of these delays and the import permits have been submitted for review.

"Despite multiple appeals and commitments from the Ministry of National Food Security and Research (MNFSR), the Ministry of Commerce, the Ministry of Interior, and other relevant authorities, the DG DPP has failed to act. Even after assurances from the MNFSR following a letter from the Prime Minister's office, the DG DPP has not granted the necessary release orders.

This situation is particularly perplexing given that similar cases have been resolved in the past by the DG DPP, who possesses the authority to grant release orders."

The statement discloses that the DG DPP is withholding release orders under the pretext of actions taken by the Federal Investigation Agency (FIA) against his department. Allegedly, the DG DPP is linking the issuance of release orders to the FIA's investigations, stating that until cases against DG DPP are resolved, he will not release shipments with expired import permits despite the provision in the rules.

This arbitrary decision, intended to create pressure against the FIA, has resulted in numerous cotton shipments languishing at ports, accruing heavy demurrage charges that are detrimental to both the foreign companies involved and the Pakistani economy at large.

APTMA requested the Prime Minister to direct the MNFSR to instruct the DG DPP Karachi to issue a one-time release order for the blocked cotton shipments, leveraging their advisory powers to resolve the issue immediately. The release may be subjected to importers submitting an affidavit agreeing to comply with any fines or regulations following the amendment of the Pakistan Plant Quarantine Rules 2019 (S.R.O).

The refusal to release shipments on the grounds of unresolved FIA cases indicates a blatant misuse of authority and unjust punishment inflicted upon the entire industry. Despite earnest appeals and interventions by the Secretary of the Ministry of National Food Security and Research, no tangible action has been taken by the DG DPP to address the issue.