Cut In Price Of System Gas To Play Havoc With Industry: APTMA

The All Pakistan Textile Mills Association (APTMA) Punjab Chairman, Syed Ali Ahsan said reduction in price of system gas by Rs 200 per MMBTU for industry is a step in the right direction but would play havoc with the RLNG-reliant Punjab-based textile industry.

While appreciating the export friendly approach of the Economic Coordination Committee for a reduction in cost of doing business, he has also extended a word of caution by highlighting that it would make the RLNG 60 percent more expensive, which the Punjab-based textile industry is already getting at 45 percent higher rate against the system gas price.

He said some 70 percent of the textile industry is based in Punjab, which would suffer a heavy price differential against the industry in other provinces. He said the RLNG price has been pegged with the Brent oil and it’s import is based in dollar, therefore, a price disparity of 60 percent would expose the Punjab-based textile industry to a high risk that may end up in massive closures ahead.

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