KARACHI, May 30: Pakistan Tanners Association (PTA) has asked the government to immediately impose 25 per cent duty on import of finished leather as unsold huge stocks are lying with tanners because of lack of demand from local garment manufacturers.

In a statement issued on Friday, PTA chairman S.M. Naseem said that as a result of huge unsold quantities of garment leather the tanning industry was faced with acute liquidity problem.

Despite the fact that leather used for making garments is available 30pc lower than last year prices yet the garment manufacturers are not lifting the stock from tanners, he added.

Keeping in view this aspect, the chairman said PTA’s demand for imposing 25 per cent import duty on finished leather was genuine and in the interest of entire leather industry, including garment manufacturers.

Opposing the frequent demand raised by the garment manufacturers for levying 20pc export duty on finished leather, Mr Naseem said that even former commerce minister and secretary did not approve this idea.

He said: “Our competitors like China, India and Turkey have also not imposed any duty or restriction on export of finished leather from their countries.”

The PTA chief claimed that in real terms leather garment export was almost the same and only 3 per cent decline was observed and not 30 to 35 per cent as wrongly propagated by other organization.