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Textile industry crisis further deepens putting at stake export targets
Source: ctei Date: 2009-05-12
Textile industry crisis has further deepened and is likely to adversely affect the export and foreign exchange targets set for this year by the government.
Sources privy to All Pakistan Textile Mills Association (APTMA) told Online Friday no solid steps have been taken for the improvement in textile sector despite persistent pledges by the government. Price fluctuation in international market and record interest rate are also among the main causes which have led to cause this crisis, sources added. This state of affairs would provide opportunity to other countries to capture international markets, sources warned.
Textile constitutes 46 percent of overall industry of the country and 11 percent of GDP growth rate and this sector earns 60 percent foreign exchange for the country, sources revealed. It provides employment opportunities to 40 percent industrial workers, sources added. Downslide in textile production will render half of the population of the country jobless and revenue collection would plunge to alarming level , sources cautioned.
Association sources told Pakistan is the 4th largest cotton producing country in the world and Punjab contributes 80 percent of cotton production. Textile industry growth rate stands at 116 percent in China, 11.6 percent in India and 3 percent in Pakistan, sources revealed. Cotton adulteration ratio is highest in Pakistan therefore, the local ginning factories produce only 10 to 12 bales daily while in other countries this ratio ranges between 60 to 65 bales per day. APTMA appealed to government to take immediate measures to save the textile industry from destruction by allowing direct subsidies besides ensuring political and economic stability in the country.
It provides employment opportunities to 40 percent industrial workers, sources added. Downslide in textile production will render half of the population of the country jobless and revenue collection would plunge to alarming level , sources cautioned.
Sources privy to All Pakistan Textile Mills Association (APTMA) told Online Friday no solid steps have been taken for the improvement in textile sector despite persistent pledges by the government. Price fluctuation in international market and record interest rate are also among the main causes which have led to cause this crisis, sources added. This state of affairs would provide opportunity to other countries to capture international markets, sources warned.
Textile constitutes 46 percent of overall industry of the country and 11 percent of GDP growth rate and this sector earns 60 percent foreign exchange for the country, sources revealed. It provides employment opportunities to 40 percent industrial workers, sources added. Downslide in textile production will render half of the population of the country jobless and revenue collection would plunge to alarming level , sources cautioned.
Association sources told Pakistan is the 4th largest cotton producing country in the world and Punjab contributes 80 percent of cotton production. Textile industry growth rate stands at 116 percent in China, 11.6 percent in India and 3 percent in Pakistan, sources revealed. Cotton adulteration ratio is highest in Pakistan therefore, the local ginning factories produce only 10 to 12 bales daily while in other countries this ratio ranges between 60 to 65 bales per day. APTMA appealed to government to take immediate measures to save the textile industry from destruction by allowing direct subsidies besides ensuring political and economic stability in the country.
It provides employment opportunities to 40 percent industrial workers, sources added. Downslide in textile production will render half of the population of the country jobless and revenue collection would plunge to alarming level , sources cautioned.
