Textile sector's contribution: Bilwani expresses resentment over PIDE statement

Council of All Pakistan Textile Associations (CAPTA), Co-ordinator and Spokesman, M. Jawed Bilwani expressed great surprise and resentment that an institute to such repute like Pakistan Institute of Development Economics (PIDE) issues an irresponsible statement such as the one that appeared in local newspaper of 28th May, 2011.
The statement said, "the net contribution of textile sector is negative". Bilwani said it seems that PIDE is clearly unaware and has not done its homework; the textile sector in Pakistan is 100 percent documented and contributes 54 percent of nation's total exports and generates 42 percent of the employment. It also contributes greatly to the national exchequer in the form of taxes.
He further said that several multiple allied industries of the textile sector chain are involved in the manufacture and job work such as trimmings, buttons, belts, fur lining, lining, pads and inter lining material, Velcro tapes, hangers, special labels, buttons, rivets, eyelets, buckles, special brand tags, price tags, bar codes, special thread and other items such as decorative fittings, zippers, locker loops, laces, braids, sequins, decorative thread, beads, stones, metal decoration, embroidery, printing, dyes and chemicals, packing materials, polythene bags, cartons etc and purchase of all these inputs, taxes are paid by the sector. CAPTA spokesman said that other multiple indirect taxes paid by the sector are on account of taxes on building material for construction of factory buildings, salaries, electricity, gas, diesel and petrol for transportation; wear and tear bills, courier charges, bills of mobile connections and other taxes.
Despite all these burdens faced by the textile sector, which is struggling in the face of stiff competition in the global market from neighbouring and other competing countries, adverse factors including high costs of doing business to earn the sorely needed foreign exchange for the nation, Bilwani questioned, why PIDE is picking on this vital backbone of the economy when there are several other sectors not contributing any taxes at all and must be brought into the tax net.-PR