Exporters of cotton cloth are struggling hard to sustain respectable level in international market notwithstanding their incompetitive prices and heavily loaded production cost. In case the government did not take cognisance of the declining trend in these major sectors, Pakistani textile exports would suffer a severe setback.
These apprehensions were expressed by Mian Zahid Aslam, Chairman Pakistan Textile Exporters Association (PTEA) talking to newsmen here on Wednesday. Substantiating his arguments with export statistics he said in FY 2005-2006 export of cotton cloth was 2,633 million square meters which declined to 2,211 million square meter in FY 2006-2007 recording 16 percent decrease in quantity.
Value-wise export of cotton cloth was 2,108 million dollars in FY 2005-2006 which declined to 2,017 million dollars in FY 2006-2007 recording a decrease of 4.30 percent in value. Similarly export of bed wear in FY 2005-2006 was 385 million tons valued at 2,038 million dollars which declined to 365 million tons valued at 1,958 million dollars recording 2.65 percent decrease in quantity and 3.80 percent in value.
Mian Zahid Aslam pointed out that cotton cloth and bed wear were two major departments of textile which were collectively contributing in earning 40 percent of forex of total textile exports. Hence declining trend in both these major sectors was a cause of huge concern.
Pin pointing the reasons behind this declining trend he enumerated increase in cost of production, protective duty on raw material, increase in prices of gas and electricity, discriminatory duties in importing countries and non-tariff barrier as the main factors.
He urged the government to realise the seriousness of the problem to immediately set in motion corrective measures to stop the declining trend, put the textile exports on progressive path. He expressed that the forthcoming textile policy would announce necessary measures to enhance the textile exports from the country.