Mian Zahid Hussain, Chairman, National Business Group, FPCCI has urged the government to allow duty free import of cotton yarn following the collapse of cotton crop in the country. Hussain urged for a waiver of the 5 percent customs duty and 5 percent regulatory duty on import of yarn unless the new crop hit the market. He further urged the government to discontinue import of excessive quantities of cotton and yarn to safeguard the rights of farmers, ginners, and textile millers.

He said, the area under cultivation for cotton is shrinking since 14 years while cotton output is also declining due to the apathy of the authorities. The last crop of cotton failed adding to the miseries of millions of farmers and threatening the textile sector which is behind 60 percent exports while providing jobs to 40 percent industrial labor.

The textile sector will need to import 14 million bales to keep their machines running on the back of unprecedented orders. This will hit forex reserves and result in other problems like diverting western importers towards China, which will leave local textile sector high and dry, Hussain added.