APCPA demands capping cotton and yarn exports

All Pakistan Cotton Powerlooms Association (APCPA) has expressed grave concern over the price hike and non-availability of quality yarn counts in domestic market and strongly demanded imposition of ceiling over export of cotton and cotton yarn to meet the domestic requirements.
Talking to newsmen, Ikhlaq Ahmad, Chairman, APCPA, demanded enforcement of a strategy to deal textile sector with equal status in terms of production and exports.
He said that prices of cotton yarn are making and breaking new records every week in domestic markets, while the situation which has emerged due to the non-availability of yarn is adding fuel to the fire.
He claimed that more than 10,000 looms were still closed in the country due to price hike and non-availability of yarn, while others were running under pressure and facing high cost of production.
APCPA chief said that the government was evolving the strategy of 'Independent Trade' without caring for the problems and difficulties being faced by small scale investors of the country.
Under this strategy, he said, cotton yarn was being exported without meeting domestic requirements, on the one hand, while self-investment in powerloom sector and other ancillary industries was going into drain due to high prices of yarn, non-availability of quality counts and other raw material, costly electricity, gas and petroleum, on the other.
He said that textile machinery worth Rs 14.76 billion had been imported during the last six months, July-December 2003, for value-addition purpose, while Rs 120 billion had been spent on import of textile machinery during the last two years, but it had not been ensured whether the raw material including yarn would be available or not.
He demanded that the government should impose ceilings on export of yarn to meet the domestic demands and value-addition. Price control system should be evolved for cotton and cotton/PC yarn.
To curb hoarding and speculation new supervisory system should be imposed for the protection of ancillary industry.
Refinance facility for spinners should be withdrawn, which is using for hoarding power. All types of yarn should be included in essential items list, he suggested.