Feedback Here

fbook  tweeter  linkin YouTube
Global contents also translated in Chinese

Pakistan Apparel Forum seeks govt intervention to improve exports

Pakistan’s textile industry has been suffering due to lack of energy supply, input cost, subsidies, machinery import and value addition against its rivals. This has led to a drop in share in the world market declining from 2.2 to 1.8 per cent during last five years. In a letter to Prime Minister and Finance Minister, Pakistan Apparel Forum (PAF) has asked the ministry to look into revamping the policy that has almost pushed the sector in its current state.

PAF said that the vital sector faces immense problems and hurdles which must be removed to pave the way for smooth and efficacious working of units and for boosting exports. Pakistan is the 4th largest cotton producer in the world, but lags behind rivals China, India and Bangladesh, the letter added, quoting the World Bank which expects global apparel market to reach $1.18 trillion by 2020 and $2.11 trillion by 2025 and also declares that Pakistan stands at highly disadvantages position in the international market.

Pakistan’s compounded growth rate for the textile and apparel exports, from 2005 to 2013 stood at 3.6per cent. On the other hand, India’s share stood at 11.3 per cent, while Bangladesh’s at 16.2 per cent. In Pakistan, value addition for every one million bale is $1.17 billion, in India it is $1.79 billion and in Bangladesh it is $6 billion. Pakistan electricity tariff is $0.15KWH, in India, it is $0.13KWH and Bangladesh electricity tariff is $0.09KWH. Also Pakistan’s gas tariff is $6.27MMBTU, India’s gas tariff is $4.66MMB and Bangladesh’s gas tariff is $1.86 MMBTU, the letter further pointed out.

It was further pointed out in the letter that Pakistan was the only country in the region which did not provide tax subsidies, interest rate support in investment, zero rating on exports, capital support, cluster development schemes and long-term policy supports. PAF has also proposed appointment of advisers to Textile Ministry from Textile Centers of Pakistan viz. Karachi, Lahore, Faisalabad and Gujranwala from the value added sector as the move will help the government in taking vital decisions, with special attention and concern for more value addition as well as for bringing down the cost of doing business.

 
LATEST TOP NEWS
 


 
MOST POPULAR NEWS
VF Logo