ISLAMABAD, Nov 20: The Central Board of Revenue (CBR) has withdrawn the cut in duty drawback rates for the manufacturers of synthetic and leather shoes to boost the footware industry.

The government on Sept 3 had slashed the duty drawback rates on shoes ranging between 4.58 per cent to 11.01 per cent, by amending the budgetary notification SRO413(I)/2001.

Due to the impact of prevailing situation on the country’s export and following the persistent demand of the shoe exporters, the CBR again notified the budgetary duty drawback rates on shoes for exporters.

To this effect the CBR has made amendment in its budgetary notification no. SRO 413(I)/2001 issued here on Tuesday.

The revised rates of repayment of customs duty to the industry would be available on exporting finished products from June 1, 2001 to onwards period.

The CBR also revised the repayment of customs duty on the import of such raw materials used in the production of canvas or textile shoes with rubber sole (all varieties and sizes), leather shoes including chappals and sandals with leather upper and leather sole (all varieties and sizes), leather shoes including chappals, sandals and slippers with leather upper and PU or PVC or rubber or TPR sole (all varieties and sizes), synthetic shoes including chappals, sandals slippers with synthetic upper and synthetic rubber sole (all varieties and sizes) and PVC shoes injections moulded, made from minimum 95 per cent PVC and not containing more than 5 per cent filler (all varieties and sizes).

The duty drawback facility would be available on the import of the 59 raw materials used by the shoe industry.

When contacted, member export Mumtaz Haider Rizvi told Dawn that repayment of customs duty was revised to that of budgetary rates with a view to give some relief to the footware industries following the negative growth in the country’s exports due to the prevailing tension in the region.