27 June 2004	Sunday	08 Jamadi-ul-Awwal 1425

KARACHI, June 26: All Pakistan Textile Mills Association (Aptma) has refuted the SOS message from various representatives bodies associated with textile and garments sector, and said there was no shortage of locally manufactured yarn for value- added textile sector.

The SOS was issued by Pakistan Hosiery Manufacturers Association; Pakistan Knitwears and Sweaters Exporters Association; Pakistan Readymade Garments Manufacturers and Exporters Association, Towel Manufacturers Association; and Pakistan Cotton Fashion Apparel Manufacturers and Exporters Association. It was published in the press on June 25.

The chairman, Aptma, M. Waqar Monnoo in a press statement here on Saturday maintained that production of cotton yarn/mmf yarn is more than its requirement and substantial quantity of 1.55 million tons i.e. 75pc of the total production of yarn is annually available for local consumption.

He dispelled the impression that hosiery or weaving yarn is short in supply.

He said abundant quantity was available on competitive rates and any confusion on non-availability of required yarn being created by the value-added sector textile associations was false.

Mr Monnoo also rebutted the impression being projected by value-added sector that export of yarn is being made on lesser rates rather than selling locally.

He said that aggrieved value-added sector could give one good reason for exporting yarn at lower rates.

The chairman firmly stated that there is no such set policy and made it clear that spinning mills export yarn to foreign buyers against letter of credit at the best available price where payment is certain, as against most of the local dealings that are made on contract basis where payment is not definite and was mostly procured through agents on credit of longer periods, which was bound to cost more to the local consumers.

He said that the importers have to pay sea freight, insurance, etc., which is, being extra cost, not borne by local consumers.

The chairman said that spinning mills were operating under the same infrastructure as was available to the value-added sector, therefore, plea of value added sector Textile Associations that their competitors in the international markets have better infrastructure facilities and concessional tariffs was irrelevant as it is not on account of Aptma.

He advised value-added sector to buy yarn directly from mills against local letter of credits, which definitely will cost them less.

Referring to the quality of yarn available for local consumption, Mr Monnoo said that the spinning mills are producing quality yarn both for knitting and weaving from local and imported cotton and there was no grievance in this regard from local consumers.-APP