Smeda, APTMA agree to set up 1,000 stitching units to increase exports

LAHORE: The Small & Medium Enterprises Authority (Smeda) and the All Pakistan Textile Mills Association (APTMA) have agreed to join hands to upsurge exports to US 50 billion dollars through “Stitching Revolution” by establishing 1000 stitching units in small and medium enterprise.

The above understanding was reached in a meeting between Hashim Raza, Chief Executive Officer, Smeda and APTMA delegation headed by Chairman Hamid Zaman including Vice Chairman Asad Shafi and senior members Ismail Fareed, Muhammad Ali, Shams Elahi and Secretary General Raza Baqir.

The CEO Smeda said the development of small and medium enterprises is the key for the economic revival and sustainable growth of the country.

“SME sector is considered as the backbone of any economy. There is a need to give due attention to the SMEs having potential of improving the GDP growth and creating employment opportunities. Around 5.2 million SMEs are employing 72 percent of the non-agriculture labour force in Pakistan, contributing around 40 per cent to GDP and 25 per cent to the exports,” he added.

Smeda Chief highly appreciated Aptma idea of converting already available yarn and fabric valuing more than $ 3 billion into value added products like garments and homemade for subsequent export to other nations of the world.

He continued that it will not only earn more foreign exchange for the country but will also provide work opportunities to millions of female and young force leading to prosperity of the down trodden masses of the country and unemployed youth.

He formed a joint Technical Committee of Smeda and APTMA to examine the idea in detail and to workout necessary details like preparation of model, feasibilities, capacity building, funding options, needs for ancillary projects and other allied matters. It was decided that leadership of Smeda and Aptma will sit together as frequently as possible to translate this dream into reality on the basis of the technical report.

Earlier Hamid Zaman, Chairman Aptma North said the textile industry has surplus yarns and fabrics valuing $3 billion available for conversion into garments and other value added products.

He said the conversion of yarn and fabric into garments for exports would fetch ten times higher value bringing it to $ 30 billion, which may take the textile exports to $ 50 billion.

According to him, the APTMA wants setting up of 1000 stitching factories mainly with female workforce after imparting them at least necessary training.

Vice Chairman Aptma Asad Shafi stressed the need for preparation of reports for the guidance and facilitation of young entrepreneurs recently graduated from universities.

He also stressed for extending soft loans to these young people in coordination with State Bank of Pakistan and connected government agencies.

“Massive training programmes should be launched through world class stitching training centres to bring stitching revolution in the country,” Shafi added.

Smeda and Aptma expressed the hope that mutual cooperation between both the organizations would go a long way in bringing stitching revolution with the intent to uplift present level of textile exports of $ 20 billion to $ 50 billion in the near future by providing assistance and developing apparel garments and home textile sectors in Pakistan.

Copyright Business Recorder, 2022