Pakistan Textile Exporters Association advocates for industry reforms

The textile sector in Pakistan is currently grappling with a myriad of issues that are hindering its growth and potential. According to reports, textile exporters are struggling to achieve maximum production levels due to the high cost of doing business and delayed refunds amounting to billions of rupees. This situation poses a significant threat to the national economy, as the textile sector serves as its main pillar.

Exporters have been advocating for reduced power and gas prices to stimulate job creation and foreign exchange generation within the sector. However, their efforts have not yielded any positive outcomes so far. Textile production continues to dwindle as millers face financial constraints, with refunds from the government remaining unpaid despite repeated promises.

The Pakistan Textile Exporters Association has raised concerns about the lack of concrete business planning and support from the government. Without industry promotion and favorable policies, the sector's ability to contribute to economic growth and employment opportunities remains severely compromised.

Recent data reveals a decline in textile exports from $1.74 billion in April 2022 to $1.18 billion in February 2023. The current monthly export figures of around $1.4 billion fall significantly short of the sector's production capacity, exacerbating the challenges faced by exporters.

Industry experts emphasize the urgent need for business-friendly policies and government intervention to address the sector's woes. The prevailing scenario, marked by escalating utility rates and tough competition from global counterparts benefiting from government subsidies, is stifling the growth potential of Pakistan's textile industry.

In conclusion, the textile sector's struggles underscore the pressing need for comprehensive reforms and support mechanisms to revitalize the industry, boost exports, and safeguard its crucial role in the country's economic landscape.