Fur garments use: Pakistan losing $40-50 million in exports due to curbs: PLGMEA

KARACHI: Chairman Pakistan Leather Garments Manufacturers and Exporters Association (PLGMEA), Danish Khan has said that as part of some international agreements, we are not allowed to use fur garments and due to impediments in obtaining NOC Pakistan is losing 40 to 50 million dollars in exports while the industry is also facing difficulties in imports.

He said this during a meeting with Minister of State for Climate Change Zartaj Gul and urged her to take special notice of the matter and remove the reservations and obstacles in this regard including the issuance of NOC.

He said that visa policy in Pakistan and rising production cost, shortage of utilities (electricity, gas, water) along with depreciation of rupee is also a major problem for value added leather industry.

The main reason for the crisis in the leather industry in Pakistan is not keeping the industry on modern lines and refraining from adopting changing trends.

Danish Khan said that in order to increase its share in the global leather market, there is an urgent need to increase investment in tanneries and value-added sector as well as innovations in leather and other value added sectors.

If attention is paid to this sector, it can earn valuable foreign exchange for the country in addition to Pakistan's international recognition.

Chairman Danish Khan told Business Recorder that he told her that due to recession in the global market and economic slowdown in other countries, the global leather market has declined and its negative effects on Pakistan have also been compounded due to which the Tanneries Association in Pakistan is also in crisis.

He said that Pakistan ranks 5th in the leather export industry and we have 5.1 percent of the total world exports. Leather products are currently facing competition from synthetic leather made in China.

Minister of State Zartaj Gul assured PLGMEA delegation to take necessary steps to resolve the issues and prepare SOPs. Zartaj Gul has said that coordination between the ministry of environment, environmental organisations and other ministries is essential to improve the environment in the country.

Zartaj Gul said that the government attaches special importance to the exporters in the country and is trying to solve their problems immediately.

She said a clear policy and strategy must be formulated to avoid the dangers of climate change. The devastation of climate change has taken a heavy toll on the Pakistani economy, she added. Raising awareness on environmental protection in Pakistani society is the need of the time.

Joint Secretary Environment Suleiman Khan, Fawad Ijaz Khan, Irfan Iqbal, Atif Ashraf and Chaudhry Ahmad Zulfiqar Hayat from PLGMEA also attended the meeting.

Copyright Business Recorder, 2020