KARACHI, Sept 27: The Export Promotion Bureau (EPB) has released ‘exceptional flexibility’ quota in category 6 and 9 of the European Union (EU) for the entitlement in the quota year 2003.

On the directives of the Ministry of Commerce the Textile Quota Management (TQM) of the Export Promotion Bureau on Saturday through a public notice stated that exporters would be entitled for exceptional flexibility and that the quota allocated under this facility will be transferable.

However, this facility has not been allowed in category 20 (EU) as the Sindh High Court (SHC), through an interim order of September 22, 2003, has restrained the EPB from transferring, allocating or disposing of in any manner the exceptional flexibility quota in this category.

According to the EPB’s notice the quantity for exceptional flexibility would be calculated on the basis of authenticated entitlement of 2003, plus quota acquired through auction this year.

Furthermore, exporter would be entitled to exceptional flexibility at the percentage of 4.9 per cent for category 6 and at 8.2 per cent for category 9. However, quota allocated under exceptional flexibility would be for one time use only and would not count towards performance in subsequent year.

All other terms and condition for the ulitization of exceptional flexibility quota would be governed under SRO 5(I) 2001, dated January 3, 2001, and as amended from time to time.

Similarly, the facility of non-surrender of a donor category (638) has been extended for availing shifts in categories 237, 239(pt), 359/659(c), 334/634, 335/635, 338,339,347/48 (USA), in quota year 2003.

Through a circular dated September 26, 2003, the EPB has declared this facility and stated that exporters availing shift in these categories would have the option of availing shift without surrendering equivalent quantity in the corresponding donor categories (638/639).

However, the EPB has clarified that exporters would not be entitled to performance during the next year in the recipient or donor categories.

In case exporters opt for surrendering quantities in corresponding donor categories, performance in the donor categories will be admissible during the next year.

Despite the fact that exporters have generally welcomed these developments but were of a conscious view that the government took long time in taking these positive decisions which were demanded by them a couple of months back.