May 26, 2006	Friday	Rabi-us-Sani 27, 1427

ISLAMABAD, May 25: Exports of two out of five zero-rated sectors declined during the first 10 months of the current fiscal year over the last year.

Official figures released by the commerce ministry here on Thursday showed that exports of surgical goods and carpets recorded a negative growth during the period under review.

The government had exempted sales tax and slashed customs duty to five per cent on machinery and raw materials of the five sectors — textile, sports, surgical, carpets and leather products — to increase exports from these sectors.

Despite all these taxation relaxations, the export of surgical goods and instruments declined by 12.2 per cent to $132.2 million during July-April of the fiscal year 2005-06 as against $150.5 million last year. The export of carpets has declined by 3.2 per cent to $219.9 million as against $227.1 million.

Other three zero-rated sectors, which registered nominal growth, included textile products that rose by 18.9 per cent to $8.023 billion during July-April 2005-06 as against $6.748 billion in the same period last year.

The export of leather products rose by 41.6 per cent to $586 million as against $413.7 million. The export of sports goods has increased by 9.8 per cent to $269.9 million as against $227.1 million.