LAHORE: Textile exporters strongly resented the three month gas suspension plan for industries in Punjab, saying that the move will adversely impact Pakistan’s $13 billion exports.

Criticising the government decision, Pakistan Textile Exporters Association (PTEA) Chairman Sohail Pasha and Vice-Chairman Rizwan Riaz said on Thursday that the gas curtailment plan would push the textile industry to the wall.

They termed energy shortage as the prime cause of economic instability and decline in industrial growth, saying that 50 per cent of production capacity of textile industry is already dysfunctional due to energy shortage.

“We have never witnessed such a situation in history, as energy shortfall had totally been shifted to the industry. In the $13bn plus textile exports, Punjab is a major stake holder with $6bn share,” said Pasha. He said that country exported goods worth $7.97bn in July-October period of current fiscal against exports of $8.55bn in same period of outgoing fiscal showing a decline of 6.86pc.

Exports are declining since July 2014 and things will get much worse in the near future as the textile industry in Punjab had been deprived of its basic fuels, he said.

Riaz said that at a time when all the neighboring countries were on path of rapid growth, the economic situation in Pakistan was getting out of hand. The gas plan would not lead to production loss alone but also the loss of export orders.

“Foreign buyers are diverting their orders to other regional countries. On time completion of an export order is a prerequisite to win any new order but unfortunately Pakistan’s export-oriented industry is unable to ensure on time delivery to their foreign buyers because of acute energy shortage,” he added.

Aptma meeting

Viability of Punjab-based textile industry is an issue forcing the sector to close down operations in case the government failed to come up with workable solution and bring the energy cost at par with mills in other provinces as well as the region.

This was consensus among the participants of an emergency meeting of the All Pakistan Textile Mills Association (Aptma) general body here on Thursday. Earlier, the meeting considered the proposals put forward by the Prime Ministerial Special Committee on energy supply at affordable price to the Punjab-based textile industry during winter.

Aptma Central Chairman S M Tanveer, Punjab Chairman Seth Akbar and Group leader Gohar Ejaz apprised the general body of the deliberations held with the special committee.

Published in Dawn, November 21th, 2014