FAISALABAD: Textile exporters are facing a financial crunch as the government is not clearing their sales tax refunds.

In a statement issued here on Tuesday, Pakistan Textile Exporters Association (PTEA) Sheikh Ilyas Mahmood said huge stuck-up working capital was a major hurdle in export promotion that would ultimately adversely impact the GSP plus opportunity. He said severe financial crunch was also creating difficulties in business flow and hampering the export growth.

He said owing to energy shortfall, exporters had consumed a major chunk of finances for developing energy infrastructure squeezing their financial streams. Delay in tax refunds was adding to the woes of exporters, he said.

In the face of fierce competition in the international market from rival countries, Pakistani textiles are struggling hard to maintain their position. Textile exports of the country were crumbling and the industry and business were squeezing due to the shortage of capital, he claimed.

PTEA Vice-Chairman Adil Tahir said the export sector being a life line of the national economy was a sensitive sector. Any disruption in export facilitation would not only hurt exports but also have a devastating impact on the industry causing productivity loss, job losses and industrial unrest.

Emphasising the importance of industrial promotion and productivity augmentation conditions in the country, he said to keep the industrial wheel running and providing maximum job employment to working hands in the country, it was imperative to facilitate the optimum industrial activity.

Hes aid severe shortage of energy had already devastated the manufacturing and industrial sectors rendering export units dysfunctional. He said liquidity crunch created by the blockage of refund claims was playing havoc with the tempo of exports.

Exporters’ representatives demanded the government to bail out textile industry and exports from financial crisis by removing hurdles and providing necessary incentives to increase exports.

They urged the government to release funds enabling textile exporters to reap the benefits of GSP plus facility.

SOLID WASTE: Faisalabad Solid Waste Management Company has decided to evolve a strategy for dumping hospital, building and industrial waste.

This was decided at a meeting on Tuesday presided over by MNA Rana Mohammad Afzal, who is also FSWMC chairman. Local Government Secretary Jawad Rafiq, District Coordination Officer Noorul Ameen Mengal, Faisalabad Chamber of Commerce and Industries president and other concerned officials were present.

Amjad Ali, managing director of the company, told Dawn that the participants were briefed that nothing was being done to properly dispose of the hospital, industry and building waste.

He said though liquid industrial waste was being disposed of properly, nothing was being done to dispose of solid waste carefully. He said, similarly, hospitals were also not properly disposing of the medical waste.

He said the company would regularly monitor the issue and all stakeholders would be taken on board in this regard.

He said the company had got prepared new uniforms, gloves, boots, masks and caps for 1,000 sanitary workers and the gear would be delivered to employees within two weeks.

A compliant cell had also been established at the company offices to address sanitation related issues, he said, adding workers would be provided new toolkits, hand-carts and other material to keep the city clean. Besides, he said a health plan for the workers had also been evolved.

Local government secretary stressed the need for launching a public awareness campaign to sensitise people about cleanliness issues. He also asked the company employees to make proper arrangements for dumping the hospital and industrial waste.

The DCO said TMAs would also play their role in ensuring a clean Faisalabad.