Pakistan Textile Exporters Association (PTEA) Chairman, Rana Arif Tauseef has expressed concern over 4 percent decline in the exports in July 2006, despite Rs 180 billion investment in machinery import and infrastructure last fiscal year. talking to newsmen on Wednesday.
He said that proportionate return ratio should have been increased by 25 percent at least in exports against such a heavy investment rather than 4 percent decline.
In fact, the declining trend was set last year when the exports of fabrics fell short by 12 percent of target and of made-ups by 8 percent of target, he stated.
He said that R&D support facility to textile exporters should have been allowed during the previous financial year to stem the declining trend. He said had our demands been accepted earlier, the exports would have shown quantum jump.
He said that exporters had demanded re-imbursement of protective duty on polyester, dyes and chemicals paid by them on purchase of raw material. He said that preferential supportive measures taken presently could even now uplift the sagging exports.
Elaborating he said the R&D support should be extended to all exporters across the board. Rana Arif Tauseef said that weaving sector should be upgraded on priority basis to face the challenges of new trade order.
He said presently the processing industry was carrying 40 percent excess capacity and there was dire need for upgrading and capacity increase in power loom sector.
He gave example of India, where power loom sector was being uplifted with Rs25 billion package of the technology up gradation fund (TUF). He said power loom sector in Pakistan also needed such a boost.