Textile ministry hailed for seeking Rs 4.825 billion for subsidies from SBP

The Zonal Chairman of Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA), Mohammad Jawed Chinoy, in his statement to the press has appreciated the textile ministry's initiative by asking State Bank for early disbursement of Rs 4.825 billion subsidies to the textile sector.
"This is a welcome step by the ministry which will help exporters overcome the lingering financial crunch. If the SBP complies to this request this will help to reduce the price of locally manufactured products and making them competitive in international market and we hope that SBP will release these funds soon," he said.
The textile industry has not done any substantial investment on modernisation of machinery due to the impending cash crisis and high interest rates but despite all these obstacles the sector has been making significant gains by increase in exports. Textile export have witnessed an increase of 22.37 percent during the period from July to December, 2010 as compared to the same period last year which is a clear sign of our competitiveness in the global market, he said. If the government keeps on supporting the textile sector there is no reason why the exports cannot touch the $25 billion mark in 2014 as specified in the first ever Textile Policy 2009-14 unveiled in August 2009 by the Federal Textile Minister Mohammad Farooq Saeed Khan, he added.
Chinoy also appreciated government's decision to reduce petroleum prices and its commitment to end load shedding soonest possible. It seems that the government has finally opened its eyes to the suffering of the people and has made the economic agenda its top priority. Unless and until Pakistan's economic condition is not stabilised we can never achieve the rapid growth being experienced by our neighbouring and regional countries like India, Bangladesh and Vietnam, he said.-PR