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Related Keywords: bedwear, cotton carded, cotton cloth, cotton yarn, exports of low value added products drop, facing chronic energy shortages, govrnment failed to capitalize GSP plus status, made up articles, Pakistan textile sector, Raw cotton exports witnessed massive decline, RMG and towels grew, stuck up export refunds, textile and clothing exports plunge

The textile sector has been facing chronic energy shortages and stuck-up exports refunds due to which textile and clothing exports plunged from $9.166bn to $8.363 billion in the first eight months (July-February) of 2015-16 in the same period last year, a drop by 8.76 percent, according to Pakistan Bureau of Statistics data.

The decline in exports, from July 2014, was despite the preferential market access to the European Union as government failed to capitalize on the opportunity of Generalized System of Preferences Plus (GSP+) status.

Related Keywords: cotton consumption declining, cotton production, cotton textile export, International cotton advisory committee, Pakistan fourth largest producer of cotton, Pakistan textile sector, performing poorly in cotton trade

Pakistan despite being the fourth largest producer of cotton has been performing poorly in cotton trade. The cotton consumption is likely to decline by 12 percent this year. By consuming 2.2 million tons of cotton, Pakistan would be exporting around $13 billion of cotton products whereas with the same quantity of combined cotton production Bangladesh and Vietnam would generate exports of $54 billion, according to a recent cotton update by the International Cotton Advisory Committee.

Related Keywords: by ten percent, can be revived by tax breaks, immediately stop collection of export development fund, on verge of collapse, other relaxations, Pakistan textile sector, Patron Islamabad Chamber of Small Traders Shahid Rasheed Butt, speaking to business community, TPP agreement to hit Pakisatn export, used to advance personal agenda

Patron Islamabad Chamber of Small Traders Shahid Rasheed Butt on Sunday speaking to the business community, said that collection of export Development Fund should be stopped immediately as it is being used to advance personal agenda which warrants an action.

He blamed export managers for pushing country in debt trap by failing to spur external trade. Also semi-qualified and outdated export managers are unaware of changing export trends and they are too much focused on politics.

Related Keywords: budgetary increase in sales tax, cheap cloth export, damaging the local markets, demanding withdrawal, facing cheap yarn import, on yarn and cloth, Pakistan textile sector, Pakistan Yarn Merchants Association, PYMA

Textile sector is considered back bone of Pakistan economy contributing more than 50 percent of foreign exchange for the country and providing 40 percent employment is already heavily burdened and imposition of additional sales tax on yarn and cloth would further suppress the sector. Pakistan Yarn Merchants Association (PYMA) has rejected budgetary increase in sales tax on yarn and cloth to 3% and 5A% respectively from 2% and 3% previously as anti-trade and industry and termed it a drone attack on yarn and cloth business.

Related Keywords: Export development fund, export target, facilitate exporters with business friendly environment, failed to benefit economy, GSP facility, Pakistan textile sector, TDAP

Pakistani textile sector has benefited due to the GSP facility but has failed to benefit the country’s economy as the government has failed to facilitate exporters with business-friendly environment due to which Pakistan likely to miss its export target of $27 billion.

According to the Pakistan Economy Watch (PEW) report, President Dr Murtaza Mughal said that Federal Board of Revenue (FBR) could not pay original refunds of around Rs100 billion, while fake refund claims are being processed immediately.

Related Keywords: boost exports, create employment, double export, economic revival, facilitate industry, formulate comprehensive, long term policy, Pakistan textile sector, textile policy, to enhance capacity, top priority, value addition

The Pakistan government has put value addition in textile sector on top priority to double the exports in the sector for the economic revival of country for which there is a need to formulate a comprehensive and long-term policy. As both the government and industry were committed to fully exploiting the potential of all related sectors of textile aiming at to boost its exports for benefit of the country.

A meeting of Federal Textile Board (FTB), Pakistan will be held soon to discuss the issues being faced by textile industrialists and the ministry to addresses these issues.

Related Keywords: economic environment to improve, foreign investors, increase export of textile, invest in Pakistan, Nawaz Sharif, Ninth expo Pakistan, Pakistan textile sector, power producing units, prevailing energy crisis, Prime Minister, textile policy

Prime Minister Nawaz Sharif at the opening of the ninth Expo Pakistan in Karachi said that this was the best time for foreign investors to invest in Pakistan, as the economic environment is improving quickly and expressed confidence that the prevailing energy crisis will be resolved in three years time.

He assured in three years time there will be ample electricity available to industrial and household owners. Their goal is not only to provide electricity but also to lower the cost of its production.

Related Keywords: capacity building in textile sector, economic turnaround of Pakistan, GSP Plus status, Pakistan textile sector, second fastest growing economy, Turkey

Turkey can play an important role in economic turnaround of Pakistan being the second fastest growing economy of the world after China. The textile sector has traditionally been the biggest sector of the Pakistan economy. Studies and surveys confirm that its contribution in total exports are almost 60 percent and it engages almost 38 percent of manufacturing labour force to acquire more than 46 percent share in overall manufacturing. In the context of having won the GSP Plus status, the need of technology improvement and capacity building in textile sector of Pakistan has become necessary.

Related Keywords: Abbas Khan Afridi, federal minister for textile, forthcoming textile policy, Pakistan textile sector, Small and Medium enterprises, SME sector, UNISAME

The small and Medium Enterprises (SME) textile sector is the majority sector and plays an important part in the economy of Pakistan. Hence the Union of Small and Medium Enterprises (UNISAME) has urged the federal minister for textiles and industries Abbas Khan Afridi to sharpen the forthcoming textile policy to facilitate the SME sector and address the issues of the majority sector conscientiously.

Related Keywords: approval, Economic Coordination Committee, first Pakistan textile summit, long term textile policy, Pakistan Federal Minister, Pakistan textile sector, Textile and Industries, value added products

The Pakistan Federal Minister for Textile and Industries Abbas Khan Afridi in his keynote address at the First Pakistan Textile Summit on Thursday stressing the need to formulate a comprehensive and long-term textile policy said that on incorporating the recommendations of stakeholders in the draft of the first textile policy, it would be forwarded to the Economic Coordination Committee (ECC) in next three weeks for approval.