Home / Knowledge / News / Textiles / Hike in power tariff will hurt textile industry: APTMA
Hike in power tariff will hurt textile industry: APTMA
21
Aug '13
The All Pakistan Textile Mills Association (APTMA) has said that the abrupt rise in power tariffs, pursuant to the new energy policy, will hurt the country’s textile industry.
 
Under the new National Energy Policy 2013-18, the power tariff rates for textile industry have been hiked from Pk Rs. 9.18 per kilowatt hour (KWh) to Pk Rs. 14.82 per KWh since August 2013, which has badly affected the efficiency of the textile industry, particularly in Punjab, where around 70 percent of the textile units of the country are concentrated, APTMA Punjab spokesperson said.
 
The recent hike of around 61.32 percent has pushed up the electricity rates for Pakistani textile industry to nearly 14.4 cents, much above the average below 10 cents rate prevailing in the South Asian region.
 
Power tariffs in India, China, Bangladesh and Sri Lanka prevail at around 11.3 cents, 8.5 cents, 7.3 cents and 9.2 cents, respectively. 
 
Also, the rate of interest that Pakistani textile entrepreneurs pay is high at 9 percent, as compared to 7.25 percent in India, 6 percent in China and 7.75 percent in Bangladesh.
 
According to the APTMA representative, hike in power tariffs would greatly hurt the textile industry in Punjab, which is already enduring high power tariff as compared to other provinces in the country.
 
The continuing power crisis, high power tariffs and interest rates, and spiralling labour costs would cause the textile industry to lose its potential of earning about US$ 13-14 billion per year in exports, directly impacting employability and economic growth, he said.
 
APTMA thus called on the Government to immediately review the situation and accordingly either rollback the tariff hike or let it continue after significantly reducing the interest rates so that the growth and labour productivity are not impacted.
 

Fibre2fashion News Desk - India


Must ReadView All

Pic: Shutterstock

Textiles | On 26th Sep 2020

Global economic forecast not as dark as earlier guess: IMF

Though the global economic outlook is not quite as dark as expected...

Pic: Edinburgh Woollen Mill

Fashion | On 26th Sep 2020

FRP appointed to value Peacocks, Edinburgh Woollen Mill

Edinburgh Woollen Mill Group CEO Philip Day has started the...

Pic: Shutterstock

Retail | On 26th Sep 2020

India plans retail trade policy, settling logistics policy

India plans to formulate a retail trade policy for which stakeholder...

Interviews View All

Textile industry, Head honchos

Textile industry
Head honchos

RCEP was always going to be a double-edged sword

Kaizad Hansotia, GetNatty

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Top executives, Retailers

Top executives
Retailers

Weak rupee breeds inflation

Uhan Soebiantoro,

Uhan Soebiantoro

Luckytex is an integrated textile manufacturing company founded by...

Bora Akris,

Bora Akris

Realkom, headquartered in Istanbul, is a fully integrated textile company...

Francesco Gozio,

Francesco Gozio

Italian company Marzoli is a leading manufacturer of the complete line of...

Wolfgang Plasser, Lenzing AG

Wolfgang Plasser
Lenzing AG

The Lenzing Group is an international company headquartered in Austria...

Kevin Nelson, TissueGen

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Ashok Desai, Bombay Textile Research Association

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Ritu Kumar, Label Ritu Kumar

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Adriano Goldschmied, AG Jeans

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Yash P. Kotak, Bombay Hemp Company

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


September 2020

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search