LAHORE: All Pakistan Textile Mills Association (Aptma) Chairman S M Tanveer has said that the textile industry is presently being supplied gas for just six hours a day, which is affecting its production volume seriously.
He said that the high cost of doing business in Pakistan and overvalued currency is already hampering textile exports by and large. He said that the cost of energy for textile industry in regionally competing countries is not more than 8 cents as against 13 cents in Pakistan. The competitors are also enjoying government support on export, investment and production subsidies incentives across the region.
The Aptma chairman said the textile exports are showing a stagnant trend during the ongoing financial year 2014-15. There is a serious decline in exports of basic textile around 30%, in particular, fabric in quantitative terms.
He said that free fall of euro against Pak rupee by over 21% in short span of 6 months has added fuel to the fire, as 35% of Pakistan’s textile exports are destined to the EU region. Erosion of competitiveness has nullified the benefits of GSP plus market access to European Union, he added.
S M Tanveer said the textile exporters are facing troublesome situation as there proceed value has reduced fast due to the currency differential. The textile exporters need an urgent support to get out of messy situation, he added.
