KARACHI, Jan 28: Exporters claim that they are not getting payment against their freight subsidy from the Export Promotion Bureau (EPB).

The subsidy was allowed as compensation against textile quotas which could not be used in 2004 owing to an embargo imposed by the US customs on some fast running categories.

After the embargo in November last year many exporters who had valid quotas in their passbooks took up the issue with the ministry of commerce and pleaded that they deserved to be compensated for the loss suffered for not fault of their own.

On the intervention of Commerce Minister Humayun Akhtar Khan it was agreed that such exporters would be given freight subsidy for all cargo that would be airlifted till December 31, 2004, and half of the airfreight for sea cargo to be shipped from January 1 to 20, 2005.

In this regard, the EPB also issued several circulars giving details of the scheme among which the two most relevant circulars were of December 13, 2004 and January 3, 2005.

"Strictly following these circulars we tried our level best to meet the conditions and also submitted relevant documents. We also ensured that consignments reach ports within stipulated time," said the exporters.

However, after the lapse of almost a month none of the exporters have received any payment against their freight charges. Pakistan Hosiery Manufacturers Association (PHMA) Chairman Aslam Ahmed Karsaz told Dawn that the association members are complaining of non-payment from the EPB against airfreight.

He said the EPB had not given details or mechanism for making such payments to the exporters who were hard pressed with liquidity problem. Mr Karsaz said that freight forwarders got a credit of 15 days from airlines and were pressurizing the exporters to make due payment.