ISLAMABAD: Pakistan’s export of textile and clothing increased by 6.51 per cent in October 2014, reviving hopes of better export proceeds from the sector.

In absolute terms, export proceeds of the sector surged to $1.180 billion in October 2014 from $1.108bn over the corresponding month of last year, suggested data of Pakistan Bureau of Statistics here on Tuesday.

A decline was being witnessed in the sector’s export growth rate since July 2014 which led the government to take a belated action to arrest the disturbing trend.

A committee was constituted recently to find out ways and means for supply of gas to the textile mills, especially in the Punjab. However, a final decision is still awaited.

Moreover, the government also announced cash subsidy on exports from low to high value-added textile and clothing sectors. The scheme is effective from July 1.

Besides, Pakistan has also been given preferential market access to the EU market since January 1.

Last year, total export proceeds grew 2.75pc to $25.132bn from $24.460bn the preceding year.

Product-wise details show that export of low value-added products, such as cotton cloth, fell by 22.31pc; cotton yarn 1.81pc; yarn other than cotton yarn 25.59pc; and cotton carded 98.22pc during the month under review over the corresponding month of last year.

Raw cotton export witnessed a growth of 58.08pc in the October 2014 from a year ago. Export of tents witnessed a growth of 153pc and art and silk 520pc during the month under review. Contrary to this, exports of value-added products witnessed a slight increase during the month under review.

The exports of knitwear witnessed a growth of 10.52pc, followed by bed-wear 7.06pc, towels 4.22pc and readymade garments 28pc.

Total exports witnessed a decline 6.96pc to $7.962bn in July-October period this year as against $8.559 billion over the corresponding months of last year.

Oil & food products: Pakistan’s import of oil and eatables bill witnessed an increase of 7.34pc in the first four months of the current fiscal year from a year ago.

In absolute terms, import bill of these two products reached $7.02bn in July-October 2014 from $6.54bn over the corresponding months of last year.

Pakistan’s total import bill reached $16.758bn during the period under review as against $14.458bn, showing an increase of 15.91pc.

Imports are on the rise since July 2014 for the first time, which witnessed decline in the past few years. The import bill of food products witnessed a surge of 41.65pc at $1.954bn in July-October 2014 as against $1.379bn over the corresponding period of last year.

The increase was mainly driven by import of wheat which witnessed an increase of 92.27pc, palm oil 4.37pc, pulses 28.13pc and all other products 97.65pc during the period under review. However, import of sugar also increased during the period under review.

Statistics show that oil import bill reached $5.066bn in July-October 2014 as against $5.158bn over last year, indicating a decline of 1.79pc. Import of crude oil was down by 3.56pc while import of petroleum products fell by 0.73pc.

Published in Dawn, November 26th, 2014