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Textile makers warn of closing units
By Mubarak Zeb Khan
Thursday, 16 Jul, 2009
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Textile mills face persistent challenges from power cuts — AFP/File photo.

ISLAMABAD: While the government seems unwilling to avert the looming energy crisis for industry, textile manufacturers have warned of closing down their units.

 

‘There is even no plan in the pipeline where the government could seriously pursue to avoid the power outages for the textile industry,’ All Pakistan Textile Mills Association (Aptma) Chairman Tariq Mahmood told Dawn on Wednesday after attending a high-level meeting on energy crisis with Textile Industry Minister Rana Farooq Saeed Khan.

 

The meeting was convened to discuss means and ways for improving power supply to the textile sector, which earns over 60 per cent of country’s total export proceeds.

 

Mr Mahmood said that textile proceeds declined by $1 billion during 2008-09. ‘This decline may reach to $2 billion in case the energy supply to the sector is not improved,’ he said.

 

He said the government was encouraging establishment of the CNG stations at the cost of the industry, which earns not only foreign exchange but also provide employment to thousands.

 

He said the petroleum adviser had already informed the industry to face worst energy shortage for 90 days in the coming winter from November.

 

‘The government has done nothing so far to avert this looming crisis for the industry,’ he added.

 

The Aptma chief suggested to the government to divert gas supply from CNG stations to the industry to save if from closing down in the coming winter.

 

An official statement said during the meeting the problems faced by textile sector due to energy crisis came under discussion.

 

Textile representatives expressed their deep concerns over high electricity tariff and asked the government to provide power to the textile sector at special rates.

 

They also apprised the federal textile minister about banks related matters in detail.

 

The textile industry minister said that textile sector was the most important sector of the economy and the government was committed to resolving all issues confronted by it on priority basis.

 

The minister said all the concerns, proposals and suggestions by the participants were the most valuable for the government all possible remedial measures would be taken in this regard.

 

He informed that a power unit of 250 MW was being installed in Faisalabad that would be operational at the end of current month.

 

He assured that maximum relief will be provided to the textile sector. Moreover, meetings with Nepra, Wapda, Ogra, Governor State Bank and Federal Minister for Food and Agriculture would be arranged to settle down maximum issues faced by the textile industry.

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