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Increased energy supply boosts Pakistan textile sector
Jan '14
Improved gas and power supply is positively reflecting in textile and clothing exports from Pakistan, and the sector can easily generate an additional export revenue of US$ 3 billion if the Government continues providing such uninterrupted power and gas supply, All Pakistan Textile Mills Association (APTMA) Punjab chairman SM Tanveer has said.
Addressing a press conference at the zonal office, Mr. Tanveer said enhanced productivity and revival of capacities, which were closed due to energy crisis, pushed textile and clothing exports from Pakistan up by 21 percent in December 2013 compared to December 2012. Unemployment in the country also dropped from 6.2 percent to 6 percent during the period.
Large-scale manufacturing (LSM) during the period increased from 2.24 percent to 5.23 percent. Value-added exports grew by 17 percent to 46 percent, while yarn and cotton cloth exports dropped by 9 percent and 13 percent, respectively during the period, which depict a positive trend, he said.
Stating that enhanced exports and reduced unemployment can help in balancing the current account deficit, which now prevails at US$ 18 billion, Mr. Tanveer said APTMA has an inclusive plan to boost textile exports to counter the deficit.
Also, he noted that positivity in textile export growth has led to an improvement in local currency value, and if sustained growth continues it can help Pakistan rupee to reach Rs. 102 per one USD level. 
Attributing the current positive industry growth trend to sustained energy supply, APTMA senior vice-chairman Seth Akbar said energy crisis had almost pushed the Punjab-based textile industry to the brink, but the Government realized the situation and for the first time made special arrangement to ensure proper energy supply to the textile industry during the ongoing winter season. This has enabled producers and exporters to accept big export orders from across the world. 
Further, noting that the textile sector still faces an eight hour per day power load shedding, he urged the Government to exempt the sector from such load shedding.

Fibre2fashion News Desk - India

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