31 percent gas tariff raise criticised

The Pakistan Textile Exporters Association (PTEA) has expressed grave concern over 31 percent raise in gas rates, and has said that this would in turn increase the cost of production and the Pakistani textile products would not be able to compete in the international market.
These apprehensions were expressed by Tahir Ishaque Bharara, Chairman of PTEA, while talking to newsmen here on Tuesday. He said that Pakistan's textile products were already under great pressure in the international market and the exporters were not in a position to obtain export orders against the regional rivals like India, China, Bangladesh and Sri Lanka.
He said the government had already increased petroleum prices by 10 percent a day earlier, and now, with the 31 percent increase in gas prices, a chain reaction of price hike of various items has started, and the material used in manufacturing of export goods is becoming costlier, "resultantly we are finding it almost impossible to keep the prices of our textile export goods equivalent or less than our rival countries".
He said that if the prices of utilities like gas, electricity and petroleum products continued to rise every month the textile industry in Pakistan would crumble under the burden of these hikes.
He said that the textile sector, which is backbone of the country's economy and has been earning 60 percent of foreign exchange and providing 38 percent of employment to people, would collapse totally and the national economy, which was already overburdened with inflation, would be facing difficult position. The PTEA Chairman demanded zero-rating of export sector and level playing field for exports.
Meanwhile, Zafar Hussain, President of Kissan Board Pakistan has termed 31 percent increase in gas tariff a cruel and anti-people decision, and demanded its withdrawal.
Talking to newsmen, he said that the PPP government was out to kill the poor masses with the price hike bombshell, contrary to its election sloganeering to control it. He said the PPP was constantly increasing the prices of oil, gas and electricity, even when it has been in power only for three months.
He questioned the government's claim that POL prices were increased due to hike in oil prices in the international market. He added that the government was talking about subsidy on petrol, but the actual state of affairs in the country has proved that it has even now been getting profit from POL prices