FAISALABAD: Textile Export target set for the year 2012-13 would not be achieved due to electricity particularly gas shortage, industries being diverted to neighbouring countries, said Mian Zahid Aslam, President Faisalabad Chamber of Commerce and Industry (FCCI) here today.
He said that after a curtailment of 68 days, the gas was restored four days a week to industries in Faisalabad in the past month. Due to this long suspension of gas, industrial production remained almost halted and now the increased unscheduled electricity load-shedding and frequent outages, the production processes have been affected badly. He said that the textile export target set for the year 2012-13 would not be achievable and it will also affect the export target fixed under the Strategic Trade Policy Framework (2012-15).
He said that due to the severe energy shortage added by high prices of inputs, worsening law and order situation, foreign buyers are reluctant to place orders to us and mill-owners are finding it difficult to complete the textile export orders in time and now forced to relocate their industries in the neighboring countries. Most of the times untimely delivery of our textile products to buyers abroad due to power crisis has resulted in considerable reduction in overall textile exports, he added, He maintained that we received 60% less orders in the ‘Heimtextile’ Trade Fair Germany this year. He apprehended that the situation may further worsen in the current year due to gas and electricity load-shedding and Pakistan may lose its major share in textile exports and suffer negative growth during the current fiscal year.
He said Faisalabad is a vibrant textile hub and contributes to 50% of the national textile exports. With the rise in domestic demand and to meet the export orders, industries are fully busy these days to meet the demand and also to complete the pile up orders.
Such an increase in the unscheduled forced load-shedding and high number of outages, manufacturing of products have become difficult to meet the demand.
Quoting he said that Bangladesh despite non-cotton growing country is now cited number two in the world after China in the manufacture of read-made garments where we being the fourth largest grower of cotton in the world, but could not be able to enhance our textile exports in accordance with the real potential that Pakistan possesses.
He said that the prime problem faced by the industries and business is the shortage of electricity and gas and real solution lies in providing uninterrupted supply of electricity and gas if export targets are to meet.
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