LAHORE - Federal Minister for Commerce and Textile Pervaiz Malik has said that Pakistani products could not get proper market share due to high input cost, stating that however, Rs180 billion PM export package has contributed significantly towards putting the country's exports into growth trajectory.

He said that the ECC, in its last meeting, has reviewed the impact of PM export package towards boosting the country's exports, also considering to expand the scope of the package and to include other sectors into its folds. While addressing the inaugural session of the 18th Textile Asia 2017 International Trade Fair, the minister said that several concrete steps were being taken to increase the volume of the country’s overall exports.

Malik said that the prime minister has directed the officials concerned to constitute a committee to undertake a detailed analysis of the impact of the export package, proposing some changes in scope and coverage of the package.

The three-day exhibition is being organised jointly by the Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) and E-Commerce Gateway Pakistan. The minister also appreciated the role of PRGMEA and congratulated its leadership for holding a successful exhibition.

Addressing the ceremony, PRGMEA Central Chairman Ijaz Khokhar said that PRGMEA has taken the initiative with the collaboration of E-commerce Gateway Pakistan and brought textile machinery fair in Pakistan to increase productivity and for better competitiveness. Khokhar said that China Pakistan Economic Corridor (CPEC) has opened up a momentum of opportunities for industrial cooperation between Pakistan and China. Under CPEC projects, the government is keen to link Chinese Small Manufacturing Enterprises with Pakistani SMEs, as a number of Chinese firms will relocate their production units in Pakistan. “China needs markets for its products and searches for raw material while Pakistan needs access to technology to boost its industrialisation,” he said.

He asked the government to consider value-added textile as a key priority area, making all possible efforts to set the right policies and incentives that encourages private sector investment in value-addition. Khokhar said that the apparel segment is the highest value-added link in the entire textile value chain.

The Pakistan Hosiery Manufacturers Association (PHMA), who has also participated in the exhibition, has urged the government to continue the Rs180 billion export package on the patron of first six months of 2017, besides releasing all stuck-up claims of the exporters, including DLTL, Customs Rebates and Sales Tax rebate, etc.

PHMA Chairman Adil Butt said that the Industry’s revival package has started giving some boost to the country’s exports and if it is implemented in its true spirit and the issue of liquidity crunch is also resolved on an emergency basis the exports of value-added textile industry will enhance further despite tough competition with the regional countries. Adil asked the government to honour its pledge to clear pending tax refunds of exporters without any delay.

He said that incentives will not be effective properly until the prime minister takes ownership of exports till the next general elections as policy implementation is not seen anywhere. Addressing the ceremony, PRGMEA Vice Chairman Jawwad said that garments industry is the least energy and capital-intensive industrial activity and is well suited for Pakistan to generate economic growth and employment.

He said that textile is the only sector which contributed $12,452.53 million (60pc) in exports for the year 2016-17 (July-June) and $12,447.69 million (59pc) in exports for the year 2015-16 (July-June). Dr Khursheed Nizam, CEO of Ecommerce Gateway Pakistan, said that Textile Asia is a landmark event, which has provided an effective podium for joint ventures and collaborations among the local textile industry and international entrepreneurs, where more than 50,000 trade and corporate visitors are expected during three days, besides more than 600 foreign delegates are participating. The exhibiting countries include China, France, Germany, India, Italy, Korea, Taiwan, Turkey, Austria, Czech Republic, UK, US etc.