Senate Panel Concerned at Declining Textile Exports

Chairman, Senate Standing Committee on Textile, Senator Mohsin Aziz has expressed concern over declining textile export of the country, and asked the government to take pragmatic measures to cope with the situation. “The government should be worrisome about the declining of textile exports of the country,” Aziz asked, in a press statement issued here on Sunday.
He said: “How to control and how to bring export to normal and to increase it, should not be concerned of the government, as planned to increase export, especially presence of GSP+ status, granted by EU states, it should have ensured that the country exports should at least increase by $2 billion whereas the exports are even below the level of year 2009-10, he regretted.
The chairman said the textile exports have shown a sharp decline and even compared to last year export which was not satisfactory. This year, he added up till now a further drop of 14 per cent compared to last year is very alarming, disappointing and worrisome.
Although, the PTI Senator said the government has put a duty of ten percent on yarn and fabric, which is no doubt an appreciable step and will stop the dumping of Indian yarn and clothes, which will surely improve local sales.
Aziz said that due to high cost of business, especially that of electricity and gas prices Pakistani products have become uncompetitive in the world market.
“Textile the larger employer and largest agriculture produce buyer in the country, other than the major exporter of the country,” he said.
PTI Senator, therefore, said that there is dire need of hour to reduce gas prices and also Gas Infrastructure Development Cess (GIDC), which has been increased the around 40 per cent leaving the textile industry on verge of collapse.
Varying with competing countries, he said the region prices of gas, including India, Bangladesh Vietnam etc, are in the range of $3.5, $4.2, while in Pakistan is around $7.5, which come to around 100 per cent increase as compared to competing countries.
Similarly, he said in the prices of electricity in Pakistan, which is in the range of 13-14 rupees per unit, whereas in the region, it is below ten rupees. In these circumstances, the Senator said how can be industry, especially exporting textile to be revived and compete in rest of the world.
He recalled the recommendation proposed by textile committee, sent to the government regarding improving the current situation, have also not been taken into consideration up till date, he regretted.