Business

Restructuring: Need to focus on value-added textile, says Dastgir

Falling exports serving as eye-opener, says commerce minister.

Our Correspondent August 30, 2015

LAHORE: Federal Minister for Commerce Khurram Dastgir Khan underlined the need for serious and well-planned efforts to increase value-addition in the textile sector, aimed at capturing greater share in regional and international markets.

“Pakistan’s textile exports have decreased owing largely to low-value textile products like cotton, yarn and gray fabric, however, value-added garment sector export has registered a significant growth,” Dastgir said at the inaugural ceremony of the Pakistan Readymade Garments Manufacturers and Exporters Association’s (PRGMEA) three-day international Textile Asia Exhibition.

Pakistan’s exports of readymade garments grew 10.05% to $2.101 billion in 2014-15 from $1.909 billion, despite internal and external challenges,” he added.

“It is unfortunate that Pakistan is the fourth-largest cotton producing country in the world, but it failed to convert this local produce to value-added products. Pakistan fetches only $1.17 billion per million bales compared to Bangladesh’s $6 billion and India’s $1.79 billion,” the minister added.

“I want every staple length of our cotton and yarn to be transformed into cloth and garments for export. Value addition is needed in the entire chain of textile sector. It is a blessing in disguise that export of low-value textile products has decreased, giving us the opportunity to convert it in high value,” Dastgir said.

He appreciated such textile shows and announced full support to the apparel sector to continue its performance. The minister said that PRGMEA takes initiative in collaboration with E-Commerce Gateway and brings textile machinery fairs to Pakistan in order to increase productivity and competitiveness.

Published in The Express Tribune, August 30^th, 2015.

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COMMENTS (1)

ahsan | 8 years ago | Reply Respected Mr Dastagir, it is good to know that at least someone is taking interest on this serious issue. The moment we got GSP plus status our exports reversed. The main reason is recession period in Europe, but still some countries are doing some business because their govt is supporting them. Like India their production cost is much more lower than ours! Electricity rates are cheaper, also they sre getting 30% rebate on exports by their govt. When india felt that their exports are being effected they devalued their currency to boost the exports. Things are need to change now . FBR also enjoying its position and not giving any sales tax refunds of exporters. Billions of rupees are stuck with the FBR. You need to change your policies in order to boost the exports of manufactured products.

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