United States Consul General in Lahore, Kristin K Hawkins engaged in discussions with the All Pakistan Textile Mills Association (APTMA) office bearers on fostering bilateral trade and economic relations between Pakistan and the United States.
During the meeting, APTMA leaders, including Chairman Kamran Arshad, Vice Chairman Ahmad Shafi, and former chairmen Adil Bashir and Hamid Zaman, along with Secretary General Raza Baqir, explored opportunities to collaborate in
the cotton and textile sectors while aiming to
expand trade and investment relations in other strategic areas.
Both parties acknowledged Pakistan’s strong potential for growth in textile and other sectors. The APTMA chairman, in his presentation on Pakistan’s textile industry, highlighted the decline in domestic cotton production and the potential need to import over three million bales this year. He underscored that the USA is a major supplier of cotton to Pakistan, which will be used to produce approximately $8 billion worth of textile products, primarily for export to the US.
Stressing the importance of continuous operations in the textile industry, Arshad proposed a mechanism to import US cotton under GSM-102, using proceeds from Pakistan’s textile exports to the US as collateral through an escrow account.
Read Textile exports dip 5% in H1 of FY24
Chairman APTMA highlighted the strength of Pakistan’s textile industry and its role in bilateral trade, noting that the US is Pakistan’s largest trade partner. In the fiscal year 2021-22, total bilateral trade amounted to $9.85 billion, with Pakistan exporting $6.8 billion to the US and importing $3 billion.
Arshad urged the promotion of US cotton linkages with Pakistan’s textile industry and advocated for toll manufacturing in Pakistan by US textile companies. He highlighted the need for technology transfer, high-yielding cotton seed, and collaboration with US cotton research institutes for improved quality.
Additionally, he called for capacity building of agricultural research institutions in Pakistan, technology transfer for cotton traceability, and the facilitation of international seed companies with transgenic technologies by the United States. The APTMA chairman underscored the importance of establishing joint ventures between Pakistani and US investors.
Published in The Express Tribune, January 25th, 2024.
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