ISLAMABAD: The Senate Standing Committee on Textile was informed on Thursday that Pakistan is likely to get European Union's Generalized System of Preferences (GSP) Plus status by January 2014.
"Pakistan is endeavoring to get access to GSP plus status as the process in this regard is going on and hopefully Pakistan will remain successful to get it by January 2014", Secretary Ministry of Textile Industry informed the Committee.
He told the Committee that last month the EU also granted tariff free market access to Pakistan on 75 items including 64 items belonging to the textile sector.
The Committee met here with Senator Mushahid Ullah Khan in the chair with its members Amar Jeet, Almas Perveen, Hilal ur Rehman and Mufti Abdul Sattar.
The Committee was informed that if Pakistan is succeeded to get access to the European market with tariff concession then the country's textile export would grow significantly.
Dispelling the impression that the major textile industry is being shifted to Bangladesh and other countries, the Secretary said that overall only four textile units were shifted to Bangladesh.
He said the local investors have expanded their business to other countries instead of moving their units to other countries.
The Committee was informed that due to energy problem and other issues, the textile industry is facing loss of approximately $2.2 billion per year.
The committee was further informed that the textile industry is the main sector of country's export which contributes over 56 percent of total exports, but it is being given less priority in gas and power supply.
The Secretary said that the textile industry should be exempted from both gas and power loadshedding.
Giving briefing to the Committee about production of BT cotton seed, the Cotton Commissioner said that currently the seed is being cultivated on 76 percent area of cotton production in the country which caused increase in production from 22 maund per acre to 24 maund per acre.
The Committee was further informed that a proposal for amendment in Cotton Seed Act was pending in the National Assembly for approval.
The Committee was told that if the Act is approved, the private seed companies would be able to produce all types of seeds.
Officials of minister of Petroleum told the Committee that the CNG sector of the country is consuming over 325 MMBTU of gas, the domestic sector is consuming 770 MMBTU while industry is consuming about 658 MMBTU.
The Committee directed the officials of Ministry of Textile to increase its exports for the economic development of the country.