Government mulls merger of weaker textile units with stronger ones

The federal government is mulling over merger of financially weaker textile units with the viable one to supplement the national economy as well as the textile sector in particular, said former Chairman All Pakistan Textile Mills Association (Aptma) Punjab Tariq Mehmood, who is also vying for the office of Aptma Central Chairman in result of Association elections held on November 20.
Talking to Business Recorder here on Thursday, Mehmood said the rising banking issues are putting the weak textile millers into a troublesome situation and they are looking for a safe exit. "Government is mulling over merger of weaker units with economically viable units to offer them an honourable exit," said Mehmood. Mehmood said he would put his sincere efforts in helping out the textile units facing trouble regarding the looming banking issues.
When asked about his priorities if he becomes Central Chairman Aptma, Mehmood said he was thinking seriously of offering a general waiver to chronic defaulters of Aptma to re-strengthen the Aptma in the face of emerging challenges in a highly competitive era.
It is generally believed that out of 450 Aptma members, about 100 members have defaulted and never turned up over the years while accusing Aptma of turning into a stamping ground of major textile groups who are looking after their personal interests on government forums. It may be noted that similar effort was also made last year but the Aptma chapters in province of Sindh and NWFP had opposed the move fiercely.
"Three detailed studies are already available with Aptma on the subject and I am hopeful of getting Sindh and NWFP chapter on board this time on this very pertinent point," Mehmood said, adding: "It is interesting to note that many of the defaulters approached Aptma when it was stated that load shedding of Sui gas would not be applicable on its members."
Energy issues are also topping the priority list of Mehmood, as in his opinion worries of the textile sector were piling up on this front. "The government is vowing to overcome load shedding phenomenon by December 2009 but the textile sector would like to know about government's strategy on supplying uninterrupted electricity to the sector before the deadline of December 2009," he said.