Govt to keep EFS, curb misuse

October 20, 2026 (MLN): The Goverment is to continue the Export Facilitation Scheme (EFS), which lets exporters import raw materials and other inputs for export production without paying duties, while taking steps to curb its misuse, protect local industry and promote exports.

Minister of State for Finance and Revenue Bilal Azhar Kayani told the National Assembly on Tuesday, in response to a point of order, that the government had carried out a detailed review of the scheme, APP reported.

He acknowledged that it had been misused in some cases in the past, which led to corrective measures, but said past misuse was no reason to discontinue the scheme or cut the number of items covered under it further.

Bilal Kayani said the government is consulting all relevant textile sectors, including the All-Pakistan Textile Mills Association (APTMA), local loom operators, garment manufacturers and other exporters. He said the government is working with all stakeholders on measures to eliminate the possibility of misuse, and these efforts will continue.

He said the government wants exporters to have access to quality raw materials and other essential inputs at reasonable prices, which would help Pakistani products stay competitive in international markets and support export growth.

The government will keep working with the relevant sectors to balance export promotion, protection of local industry and transparent use of the scheme, he added.

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