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PRGMEA urges govt to raise energy supply in textile units
01
Dec '14
The Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) has urged the Government of Pakistan to increase gas and power supply to the textile industry, in order to help exporters cut their energy costs and release billions of rupees stuck in sales tax refunds, PPI news agency reported.

PRGMEA central chairman Ijaz Khokhar said the country has exported textile made goods worth US$4.6 billion during July-October 2014-2015, against $4.7 billion of the same period of the previous year, showing a drop of 1.54 per cent.

He said that due to gas shortage, mills cannot process fabric on time and the sewing units cannot guarantee on-time deliveries of export shipments.

Ijaz said the Government of Pakistan was expecting the country’s exports to rise by $1 billion annually after the country was granted EU's Generalized Scheme of Preferences (GSP) plus status. However, things moved in opposite direction, as exports plunged in last several months mainly due to the ongoing energy shortage, Ijaz said.

The senior vice-chairman for PRGMEA north zone, Malik Naseer, said the continuously declining law and order situation in the country, followed by lingering energy shortages which has virtually crippled the industry, are the prime reasons for the decline in textile exports.

He said the textile industry needs cheaper electricity to keep the units operational and to complete the export orders well within the given timeframe, but only because of the shortage of electricity the exports are not up to the mark.

Malik urged the Government of Pakistan to control line losses, electricity theft, and inefficiency in recovery of dues, as these have reduced the country’s economic growth. (GK)

Fibre2fashion News Desk - India


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