Reduced gas supply to textile industry: 50 percent units remain idle for three days a week

Around 50 percent capacity in textile industry remains idle for three days a week due to gas curtailment on the SNGPL network, denting 40 percent of the salaries of the textile workforce on a weekly basis. The textile industry in Punjab would have to face 160 days closure out of 365 days of current calendar year in case the government continues with present arrangement of three days a week gas curtailment on SNGPL network.
The financial cost of the industry is also becoming unbearable due to double-digit mark up. Strong fears are rattling the industry circles, as chances of default are becoming eminent due to energy shortage. This current situation in the textile industry portrays negative image of the industry, said Chairman All Pakistan Textile Mills Association (Aptma) Ahsan Bashir.
Talking to Business Recorder, the Aptma chief for Punjab chapter said the textile industry exports were likely to hit hard due to massive gas curtailment. Therefore, according to him, the chances of meeting last year exports of $14 billion is becoming difficult.
He said the Aptma Managing Committee was meeting on a day to day basis to deal with the situation oozing out of gas curtailments on the SNGPL network. He said the industry has been facing two days a week gas curtailment first time during outgoing summer, which never happened earlier in the history of the textile industry.
Ahsan said Federal Petroleum Minister Dr Asim Hussain visited Aptma many times to understand the situation. He appreciated the positive attitude of the federal minister and expressed the hope that situation would soon be reversed with sincere efforts of the federal minister.
President Asif Ali Zardari had facilitated the textile industry last winter by intervening the gas load management plan of the SNGPL, resulting in handsome increase of $4 billion in exports in 2010-11. His strategy was also beneficial to the cotton growers. Aptma chief expressed the hope that the president would take notice of the situation again and help out the textile industry.