Higher policy rates led to closure of many units: PBEA chief

RECORDER REPORT

KARACHI: A shot in the arm is needed to lift country’s exports which “are going down and we are losing exports markets rapidly, according to Pakistan Bed-wear Exporters Association (PBEA).

Shabir Ahmed, Chairman, PBEA painting a very bleak picture of exports said that an unprecedented increase in bank mark-up has resulted in the closure of many factories of bed-wear and other textile made-ups and many more are likely to close down in coming months.

Entire blame for this deluge has been squarely laid on former Chief Executive of Trade Development Authority of Pakistan (TDAP), Tariq Iqbal Puri for criminally neglecting this important sector which brings foreign exchange for the country.

“We approached him a number of times but he was least bothered about removing exporters’ concerns,” he said and welcomed the government’s step to dismiss him. “During his tenure, he has accumulated enough (air miles) for his future traveling,” Shabir said. His lethargic approach pulverised exports to the extent that it now needs Herculean efforts to organise this sector to make it vibrate once again, he said.  

Further welcoming Governor, State Bank of Pakistan, Yaseen Anwar’s move to form a special committee to look into the problems facing textile industry and rehabilitation of textile sector, he demanded that value-added sector, i.e. bed-wear should also be a part of the committee and not spinning sector only because bed-wear is faced with problems of serious nature.

Referring to the relaxation provided to exporters under part II of Export Finance Scheme for the year 2011-12 by the State Bank of Pakistan in view of sliding exports, Shabir Ahmed said that buyers are concerned about receiving their goods on time because of loadshedding, gas shortage and law and order situation in the country. It is necessary that shipments take place on time to restore the confidence of foreign buyers who are scary of placing orders with Pakistani exporters.  He expressed the hope that Chairman, Trading Corporation of Pakistan, Tahir Raza Naqvi who has been given additional charge of TDAP would put his best foot forward and ensure that all the impediments in the way of exporters are removed and their problems are resolved on priority basis.