Treasure Magazine

Treasure Magazine

Towel Industry facing serious problems

3 min read
towels
Despite this fact, negligence and carelessness being shown by the concerned circles, due to which it is feared that the rising textile export bubble will be blown out

KARACHI: Chairman, Towel Manufacturers Association of Pakistan, Feroz Alam Lari said that despite the influx of foreign exchange from textile exports, the industry was facing serious problems.

He said that industry could play its role in repaying the debt of the country only if necessary facilities were provided it.

Despite this fact, negligence and carelessness being shown by the concerned circles, due to which it is feared that the rising textile export bubble will be blown out. Due to low production of cotton bales and export of raw yarn, the country’s foreign exchange earning export sector is already facing shortage of yarn in the domestic market which is the main raw material for textiles.

He said that due to suspension of gas supply, the last nail was being driven into the coffin of textile exporters. Gas is the main fuel for the manufacture and processors of textile products. Despite the Covid-19 worldwide, Pakistani textile exporters attracted international buyers.

There is no doubt that valuable export orders have been received from buyers due to the government’s export friendly measures and policies. He said that the basic export industry is now moving between air and water.

He expressed grave concern over the decision to cut gas supply to general industrial units from February 2021. He said that along with non-availability of gas, power shortage in the country was becoming a major obstacle for exporters.

As an Export Oriented Sector Association, we firmly believe that a reduction in the supply of gas to the domestic industry will hamper the export supply chain. Therefore, the export sector will face difficulties and exporters will not be able to carry out their manufacturing easily.

In the second phase, the government will cut off gas supply to the export industry from March 2021. This will be a huge blow to our export industry. It is feared that in these circumstances, domestic exporters will not fulfill their promises to international buyers on time.

We fear that due to non-fulfillment of our promises to deliver goods to international buyers on time, we may face cancellation of export orders, which will result in huge losses to the country. Export of textile goods is the backbone of our economy.

“We have to keep in mind the fact that the country’s value-added textile export industry accounts for about 62 per cent of total exports,” Feroz Lari said. The textile sector, in particular, provides high civic employment to the female workforce, as well as supporting over 40 allied industries in the country.

The textile industry plays an important role in creating employment as well as reducing poverty in the country and earning valuable foreign exchange for the national exchequer. Chairman Towel Manufacturers Association of Pakistan appealed to the government to set a positive target for exports, ensure adequate supply of gas for the export sector as well as the industry associated with it.

Increasing domestic exports seven days a week without easy supply of gas would be like a wild goose chase. Feroz Larry warned that if these recommendations were not followed, the dream of ambitious goals to increase textile exports by 50 billions of dollars by 2025 will never come true.