LAHORE: Expressing deep and serious concerns over the alarming fall of 16pc in textiles and clothing exports in the month of March, the Aptma has constituted a taskforce to make recommendations to restore viability of the industry and revive exports.
The Aptma taskforce on “sustainability and way forward” has a strong representation of all sub-sectors including spinning, weaving, processing, home textiles, knitwear, woven garments, towels and synthetic textile.
The Aptma central body has given a mandate to its chairman S.M Tanveer along with Gohar Ejaz as co-chairman of the taskforce to hold deliberations on the factors behind the prevailing alarming situation and suggest the way forward in terms of viability and sustainability of the industry.
16pc fall in textile, clothing exports
An APTMA spokesman said the taskforce would formulate a strategy document for the restoration of viability of the textile industry and to undertake investment initiatives for achieving double-digit growth of textile industry.
According to him, the economic managers and concerned ministries would be approached to secure enabling environment for sustainability and growth in domestic as well as the global market place.
He said the mandate of the taskforce encompasses immediate reduction in cost of doing business and to devise a methodology for effective zero rating regime for export-oriented industry.
Furthermore, he said, the taskforce would also deliberate on various incidents of taxes, cess, surcharges and inefficiencies and disadvantages of the system burdening the industry at around five to six per cent of the sales value for spinning, weaving and processing mills, making basic textiles unviable for value added exports.
All these three sub-sectors are important part of the value chain, energy dependent, operate 24/7 and thus are more exposed to inefficiencies of the system.
He said the government has only two options to save the textile industry. It would either have to reduce the cost of doing business of the export-oriented textile industry or to bring rupee at its realistic value.
The first meeting of the taskforce has been scheduled for 28th April, 2015.
Published in Dawn, April 26th, 2015