The Ministry of Finance (MoF) has released only 10 percent funds, ie Rs 53 million against the commitment of 30 percent, to the Textile Ministry during the first half (July-December) of current financial year under the Public Sector Development Programme (PSDP), informed sources told Business Recorder here on Tuesday.
During the first quarter (July-September) review of the PSDP, the Finance Ministry had committed to release 30 percent of the total allocation under the PSDP for development projects by December 31, 2009. But the released amount is only 10 percent of the total allocated amount of Rs 509.746 million for six projects of the Textile Ministry.
According to budgetary allocations, Rs 246 million had been earmarked for providing and laying dedicated 48-inch diameter mild steel water pipeline for Textile City in Karachi, whereas Rs 207 million had been allocated for Faisalabad Garment City project, said the sources.
The government, under the PSDP, allocated Rs 25 million for Lahore Garment City project; Rs 17.330 million for upgradation of Export Development Fund (EDF)-funded textile institutes; Rs 13.576 million for Export Development Plan Implementation Unit; and Rs 0.84 million for holding of conferences and seminars.
The sources aid that the PSDP allocation for the current fiscal was already less by Rs 260 million than last year's allocation of Rs 769.578 million for on-going major six projects. Textile is the major sector, earning 60 percent of total foreign exchange, but in the first half of the current year, the government had neglected it, said the sources.
They further said that the government had announced the setting up of three garment cities at Karachi, Lahore and Faisalabad under the 2003-04 Trade Policy. The purpose of the projects was to provide facilities and necessary infrastructure to the textile sector with a view to promoting value-added garments, home textiles, made-ups and accessories to the international market. In time completion of these projects seemed to be difficult due to financial crunch, the sources added.
Comments
Comments are closed.