Textile export orders on decline due to energy crisis

FAISALABAD: The industrial units of Faisalabad Region have remained closed for the last 27 days due to indefinite period of gas-shedding and volume of textile export orders have decreased in Heimtextil from 25 million dollars to 3 million this year due to energy crisis and default on previous export commitments.

This was disclosed by Rana Arif Tauseef, Chairman Pakistan Textile Exporters Association while talking to newsmen.

Expressing disappointment, he said that Heimtextil being the biggest international trade fair for home textiles and a global benchmark for quality design textiles has great importance for Pakistani textile exporters as retailers around the globe visit this fair for new fashion trends and to place their orders.

Pakistani exporters were getting about 25 million dollars export orders every year in Heimtextil but this year got only 3 million dollars order due to severe energy shortage and non fulfillment of previous orders in time. Severe energy crisis hampered the production process creating drastic fall in industrial output and Pakistani exporters are feared about timely honour these export commitments, he said.

Quoting the official statistics, Tauseef said that gas closures had drastically impacted the industrial productivity declined 14 percent in October and 20 percent in November.

In October, textile exports were 170 million dollar short and in December increased to 200 million dollars.

If this trend continued, textile exports declining ratio could reach 300 million dollars in December and 400 million dollars in January and the export target seems to be a far cry, it was contended. Gas crisis has reduced productivity to 45 percent and production process has been totally suspended and millions of workers were rendered jobless.

Industrialists are unable to pay salaries to the workers and pay their gas and electricity bills due to financial crisis.