LAHORE: Alarmed at rising dumping of Indian cotton yarn, All Pakistan Textile Mills Association (Aptma) urged the Commerce Ministry to exercise public interest clauses of 7(b) of the Safeguard Measures Ordinance, 2002 with immediate effect.
According to the Aptma, rising dumping of Indian cotton yarn has posed a great threat to the local textile industry and the government should take remedial steps to save textile sector.
Expressing concern over the situation, Aptma Chairman SM Tanveer pointed out that 26,000 tonnes of Indian cotton yarn was dumped in 2013-14 against around 17,000 tonnes in 2012-13.
He regretted that the dumping phenomenon had reached 2,500 tonnes per month during July-Nov 2014-15 and there was 100 percent rise in dumping of Indian yarn predominantly fine counts meant to produce and launch around 140 products under different popular brands annually, was hurting local textile industry. The Aptma chairman demanded immediate remedial measures by the commerce ministry.
“India is offering incentives to its yarn exporters including over 10 per cent rebate, 5pc discount on interest payment for attracting new investments besides state level subsidies on electricity to undertake investment at zero interest rates,” he said.
“While India has imposed 10pc customs duty on yarn import besides 12pc CVD and 4pc Special CVD, which brings the cumulative impact of 30pc on import stage, in Pakistan there is a nominal import duty of 5pc and nothing more. Therefore, Pakistan is an ideal market for dumping purposes,” he added.
He urged Commerce Minister Khurram Dastagir to exercise public interest clause with immediate effect under 7(b) of the Safeguard Measures Ordinance, 2002.
