Pakistan’s textile sector has been facing multiple issues for the last many years and it has adversely affected the export volume of the country to the unreasonable level. The prime minister has recently announced a textile package for this sector, considering it as the backbone of the economy, but no visible change has so far been marked. The textile industry contributes around 60 percent to the total exports of the country, but the exports have declined by 20 percent during the last four years. Experts believe the dwindling cotton production is the root-cause of the problem. The annual cotton production of the country has dropped from 15 million bales to 10 million bales which has raised the cost of production. The law and order situation is the second reason which has tarnished the image of the country in the eyes of the international community. The recent spate of suicide bombing has added insult injury while miscreants are continue to attack Pakistani check-posts from Afghanistan. A country in the war will not be able to convince the world that everything is right in this part of the world.
As a matter of fact, energy crisis is another reason for the declining exports as the manufacturers have failed to comply with the business orders from around the world. However, the industrialists blame the government for devising ill-conceived policies which have raised the cost of production in the country. It is a point to ponder for the policymakers how a country like Bangladesh has made itself a powerhouse of finished garment products and has become the second biggest garment exporter after China. Though Bangladesh has exploited its status as the ‘lowest developed country’ in the world and enjoys access to the developed markets such as the European Union and the Unites States, Pakistan also enjoys GSP status of the European Union. Pakistan is one of the leading cotton producing country in the world after China, India and the United States, but it should be a matter of concern for the policymakers who have failed to improve cotton exports as compared to Bangladesh. Some of the entrepreneurs blame strong Pakistani rupee as a reason behind the fall in the exports, but the government has so far resisted all the efforts from certain quarters and has maintained the value at certain level.
The strong currency is the guarantee of strong economy and the government has befittingly ward off all the efforts towards devaluation of the Pakistani rupee. It is hoped that reasons and commons sense will prevail and the government will be able to revive the export sector.
