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Grading certificate Cotton exporters exempt till June 30

RECORDER REPORT

KARACHI: The Ministry of Commerce through a notification has exempted cotton exporters from presenting grading certificate to Customs for export

consignments. The condition will remain suspended till June 30, 2000.

This concession has been granted through a notification S.R.O. 100 (1)/2000 which says:- "In excercise of the powers conferred by sub-section (1) of section 3 of the Imports and Exports (Control) Act, 1950 (XXXIX of 1950), the Federal Government has decided to make the following further amendment in its notification SRO No. 898(1)/99 dated 4-8-1999, namely:-

"In the aforesaid notification at para 17.8, the clause (iv) shall be added namely:-"(iv) Requirement of grading and classification certificate issued by the Pakistan Cotton Standard Institute (PCSI) to be presented to the Customs authorities by cotton exporters for all cotton export consignments shall remain suspended till 30-06-2000".

Commenting on the exemption from presenting grading certificate by the exporters a leading cotton exporter, Abdul Sattar Balagamwala said that the concession has been granted for the new cotton export season due to begin in September this year.

He said that the exemption has been granted for the third time by the Ministry of Commerce because the cotton exporters had pleaded that they had no hand in ensuring grading of cotton which should be done at the ginning stage. Exporters got cotton bales cleaned and packed at the ginning factories ready for export and if the Ministry was concerned about the quality it should enforce the condition of certification of grading at the ginning stage.

Balagamwala said that the condition for certification of grading of cotton would be applicable to all ginning factories from July, 2000 at the start of the new cotton season. The ginners would have to obtain a certificate from PCSA on grading and classification before selling the stuff to the exporters who in turn would submit the certificate to the Customs authorities at the time of shipment.