Aptma for continuation of duty-free regime for textile sector

The All Pakistan Textile Mills Association (Aptma) has proposed to the government to continue duty-free regime for textile sector. Any move to impose restriction on export of cotton and yarn will be opposed to save the local industry, said Aptma Chairman Gohar Ijaz while talking to Business Recorder.
Import of Bt cotton seed is not the viable option to increase cotton yield. There is dire need of research to introduce new varieties of cotton seed in the market, he added. Textile Ministry held a meeting on Wednesday with Aptma representatives, which was led by Gohar Ijaz to discuss cotton and yarn shortage in the country.
Gohar said that with the continuation of duty-free regime this year only 4 percent cotton has so far been exported while the farmers received Rs 350 million extra as compared to last year. Similarly, despite free market mechanism only 20 percent yarn was exported.
Therefore, free market is not the reason behind cotton and yarn shortage in the country. The government should not impose restriction on cotton and yarn export, he added. He proposed to the government to constitute 'Pakistan Cotton Research Development and Marketing Board' to introduce new varieties of cotton seed in the country to meet cotton future shortage. During last 12 years no development has been made in introduction of new seeds and the farmers have to rely on old varieties, he added.
Pakistan is currently producing 604 kg per hectare cotton, against 1250 kg per hectare in China, Gohar said, adding that immediate steps are required to increase cotton production per hectare. The government should take initiative to increase yield and introduce new seeds to avoid cotton shortage in future, he added.
The meeting was arranged on the directives of the senate standing committee on textile industry. The body had recommended to the Ministry to hold meetings with all stakeholders to carve a strategy in consultations with all of them to meet the expected shortfall this year.
Textile Ministry has also convened another meeting of the value-added textile sector on Thursday to discuss raw cotton availability. As soon as consultations are complete, the Ministry would finalise a strategy for cotton and yarn import and export for the remaining months of the current year.