ISLAMABAD, April 18: Pakistan’s textile exports will face tough competition from China, Bangladesh and the Philippines in the post-quota free scenario, which is both a threat as well as an opportunity for the country.
The National Assembly was told here on Friday in a written reply that Pakistan’s textile quota exports were bound to face competition from China, Bangladesh and the Philippines after the expiry of textile quota in 2005.
Commerce Minister Humayun Akhtar Khan in his written reply to a question from Asif Tauseef conceded that the elimination of textile quota would provide both a threat and an opportunity. However, the government in collaboration with the textile industry was making all-out efforts to minimize the threat and avail of the opportunities by concentrating on improving Pakistan’s competitiveness, upgradation of quality, greater contribution by synthetic sector and more investments in value added segments of the industry like readymade garments and textile made-ups.
The minister said Pakistan’s total exports of textile and clothing during July-February 2002-03 stood at $4.4 billion as compared to $3.7 billion during the corresponding period of 2001-02, registering an increase of 20 per cent.
In the fiscal 2001-02, Pakistan’s total textile export was $6 billion, of which quota exports were 38 per cent mainly destined for the European Union, the US, Canada and Turkey.
“The bulk of our quota export comprises of apparel and fabrics in which Pakistan has competitive advantage,” the minister added.
