Carpet exports from NWFP are constantly registering sharp decline for the last two-and-a-half years, sources in carpet industry told Business Recorder on Wednesday.
According to All Pakistan Commercial Exporters Association (Apcea), a body formed for the promotion of exports from the province, the landmark exports of carpet were made in 2000-01 when the province exported carpets worth $ 172 million.
Since 2001 carpet exports from the province are on the decline. In 2001-02 the exports amounted to $76.52 million which declined to $ 29.99 million in 2002-03 and touched the lowest ebb of at $ 13.39 million during past six months.
When a known carpet exporter and former chairman of All Pakistan Commercial Exporters Association, Mazhar-ul-Haq, was contacted, he attributed it to withdrawal of incentives by the government and return of Afghan weavers to their homeland.
He said that earlier the government was providing rebate to exporters to promote carpet exporters, and repatriation of Afghan refugees also cut the production of exports by 40 percent.
Mazhar said that he also raised the matter with President Pervez Musharraf who said that withdrawal of rebate was due to the pressure of International Monetary Fund (IMF).
He said that currently Pakistan is pursuing the policy of no-duty-no-drawback.
He said that exports of carpet have not declined only from NWFP but also from the other parts of the country. Return of Afghan refugees had deprived the sector of cheap labour.
Mumtaz Khan, acting chairman of All Pakistan Commercial Exporters Association said that harassment of factories owners and workers by government machinery had affected carpets production.
He said that Peshawar is known carpet market of the world and the profession has been converted into a cottage industry providing job opportunities to thousands of men and women in the city.
He said that these people are not only earning livelihood for their families but also foreign exchange for the country. However, he said, due to harassment at the hands of different state agencies people engaged in this sector are either closing their business or shifting to other provinces.