LAHORE: The textile exporters have expressed grave concern over the declining exports despite grant GSP Plus status by the European Union, saying that Punjab industry is heading for closure due crippling energy shortages.
“Exports of the country are heading towards disaster as these slid by 14.47 per cent in April despite availability of GSP+,” said Pakistan Textile Exporters Association (PTEA) Chairman Sheikh Ilyas Mahmood. He urged the government to take serious notice of the matter to arrest further drop in exports.
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Ilyas said that the PTEA was repeatedly showing concern over the situation, but unfortunately all of its warnings were ignored by the policymakers. He said the government was not addressing the reasons behind the industrial crisis.
According to him, the situation may become more alarming in the coming months as the industry in Punjab was in the grip of severe energy crisis. He said the policymakers were not serious in resolving the gas supply issue of the textile industry. Instead, he lamented the gas available was being wasted in CNG, causing a huge loss of foreign exchange to the country.
He said the situation was becoming unbearable for the industry and a constant inefficiency was plaguing the viability of production units. The textile industry was heading towards disaster due to non-availability of energy, lack of competitive edge and lack of basic working capital, he added.
“This drop on exports would have dire impact on economy with already under pressure current account balance,” he said and added that the textile industry was earning 55pc exports revenues and providing jobs to the millions. The PTEA leader urged the government to take stock of the situation and redress the problems of industry in Punjab immediately to avoid further loss of exports.
