Decision to cut gas supply will halt industrial wheel: FCCI President

Any decision to cut gas supply will result into halting industrial wheel as well as unemployment will abnormally increase, and it would be hard to fulfil export orders, which is anti-industry and anti-worker, said Engr Suhail Bin Rashid, President Faisalabad Chamber of Commerce and Industry (FCCI).
Talking to newsmen, he apprehended that any decision to cut gas supply to the textile industries for next three months would result into increased cost of production and non-fulfilment of export orders. He said currently gas supply was of 170mmcfd that is much below the demand of 335mmcfd in winter to Faisalabad industries. He said gas is essential input for textile industries without which the production process is completely halted and no alternate fuel is either feasible or available to use in the production process.
Chamber Chief said out of about US $14 billion exports of textile, US $10 billion are originated from Punjab where Faisalabad contributes to US $4 billion per annum. He said 80% textile industries are located in Punjab. Owing to this non-supply of gas, it would become difficult to meet the export orders and even domestic demand would suffer for winter season. Moreover, due to increase in unemployment of the workforce, law and order situation would further deteriorate in the area.
He told the newsmen that gas prices are already high in Pakistan as Rs 488.23 per MMBTU if compared to Rs 330/MMBTU in Sri Lanka and Rs 260/MMBTU in Bangladesh. He said "we have received 60 percent orders in 'Heimtex' Germany less than those of last year; and bulk of orders was diverted to India, Bangladesh and Sri Lanka. Pakistan's external reserves are already at critical stage and any cut in export proceeds might exert immense pressure on balance of payments' situation."
He continued Faisalabad textile sector in addition to about 45 percent share in national exports meet the domestic requirement for cloths and textile made-ups to a larger extent in the country. He maintained the Government was inviting foreign investment in the country while the investors in the country were willing to invest and expand their industrial base but the gas and electricity loadshedding had paralysed their investments and capital flight and relocation of industries to other countries. He urged the Government and SNGPL authorities for a rationale load management plan to give relief both to the industrial and domestic consumers in winter.