High cost of business hitting Pak textile industry.
All Pakistan Textile Mills Association (APTMA) Chairman Tariq Saud has reiterated that the high cost of doing business has started hitting textile industry severely with more textile mills closing down. He said about 110 textile mills have closed down their operations due
to the high cost of doing business, particularly the cost of electricity and gas. The current state of situation is fast becoming out of control, which is quite evident from the free fall of exports over the last six months.
He said the clothing sector had possessed the growth potential of above 20% with the availability of GSP plus facility, but it could not happen because of the adverse circumstances. Both the spinning and weaving sectors, backbone of the textile value chain, had faced the brunt of high cost of doing business which has made them unviable throughout the country.
He urged the government to immediately announce the remaining part of the textile package. That includes drawback of local taxes and levies (DLTL) scheme to the entire textile value chain and extension of export refinance to spinning and weaving sub-sectors.
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|Publication:||Pakistan Textile Journal|
|Article Type:||Brief article|
|Date:||Jan 31, 2016|
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