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Apex body outlines proposal for revival of textile industry
Jun '08
Textile Industry of Pakistan is indeed passing through a very crucial juncture due to the prevailing socio-economic and political climate.

In particular, the Textile sector is exposed to extreme competition after the phasing out of quota besides facing resistance from developed countries in the name of social compliance, environmental & Effluent treatment plants, anti-dumping, counter-veiling and safeguard accusations.

To increase competitiveness and quality of products, textile industry requires investment in technology for meeting the new challenges.

Over the last few years the textile sector has invested about US$ 6.0 billion in modernization and higher value addition, but due to continuous rise in cost of doing business resulting from enhancement in the cotton prices, utilities, inflation and bank refinancing rate on exports, Pakistan is becoming uncompetitive and loosing share in the international market.

APTMA strongly feels that the time now is to address questions like why our Industry is vulnerable to these cyclical downturns, why can't we sustain growth and economic performance on a sustainable basis.

While evaluating these issues, we come to know that these are not new, they have been in existence since a very long time now and relates to fundamentals of the textile business.

The need of the hour is to address the following issues:
• Issues concerning Banking & Finance
• Issues relating to Energy Crisis
• Inadequate supply of Raw Material
• Continuity of R&D Support Facility to Textile Sector
• Enhancement of Minimum Wages of Labours
• Need of Mergers & Acquisition to achieve Economy of Scale

We, at APTMA are confident that if the government shows its concern to resolve these issues we assure that we will put all out efforts to compete in the international arena to bring home much needed foreign exchange and greater prosperity.

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All Pakistan Textile Mills Association

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