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The textile industry of Pakistan has been for the past few years largely confronted with major challenges like energy crisis, dearth of value addition and branding, unskilled manpower, outdated textile machinery and overburdening of debts.
In a bid to bring down costs of production, the APCMA has proposed the government to cut the Federal Excise Duty rate on non-calcined pet coke and shredded rubber tyre scraps down to zero percent. Currently, the rates stand at 5 percent and 10 percent ad valorem, respectively.
Don’t post invitation cards yet if they are meant for the chairman of Pakistan Cricket Board (PCB). They may well land to the wrong person. The PCB Chairman the article is penned down is Najam Sethi; but please don’t ask for running a correction if it is Zaka Ashraf holding the chair on Monday.
Having raised Rs400 billion over in the last auction the government accepted another Rs245 billion in long-term papers of different tenures, in the just-held PIB auction. The cut-off yields have only very slightly inched upwards, maintaining the high differential that has occurred with the government treasury bills.
Pakistans current account hung in balance last month; and so did the capital account. Its the financial accounts, which was the prime contributor to the $2,200 million increase in foreign exchange reserves in April. Had the Eurobonds not been issued, SBPs foreign reserves would have been unchanged.
Pakistans insurance industry may see a breakthrough in the coming years. Reportedly, the long held stay order on Takaful Rules 2012 has been taken back by Sindh High Court, thus allowing conventional insurers to jump into Takaful business--a Shariah compliant insurance alternative.
Rising appetite for packaged food products and widespread advertising, marketing and distribution efforts seem to have pushed up FMCG sectors top line by double digits in 1Q CY14 compared to the paltry growth of 1.5 percent year on year in 1Q CY13. Here is a quick snapshot of FMCG sectors performance in the quarter ended March 2014, where Nestle, EFOODS and Unilever Pakistan Foods have been taken as a proxy.