Tarin eyes $25 billion textile exports in next five years

KARACHI (APP) - PMs Advisor of Finance Shaukat Tarin has asked textile manufacturers to take countrys textile exports to $ 25 billion in next five years, through value addition. He was talking to value added textile exporters at PHMA House here Saturday. SBP Governor Syed Salim Raza and State Minister for Textile were also present on the occasion. He said that the Pakistani textile sector was currently converting one million bales of cotton into less than a billion dollar ($ 0.94b) while it was $ 3.9 billion in China and $ 1.94 in India. We need to double this conversion rate in next five years so as to boost textile sector. The government will provide every possible support to this vital sector of the economy, he added. Tarin maintained that textile sector was the largest export earner, employing 39 percent of the total employment in the country and a major contributor to the national economy. He pointed out that Pakistan was ranked 12th in global textile exports. This ranking must be improved, he observed. He said that a comprehensive long term textile policy will be announced with active consultation with all the stakeholders. The draft of textile policy was ready, but we need more input from the stakeholders before the budget to make it comprehensive so that it can last for at least 10 to 15 years. It will not be governments policy. It will be your own policy, he noted. He said textile sector was subjected to various taxes which should not be there. They are facing problems on account of utility charges. These should be removed and there have to be only a consumption tax and income tax, he opined. He said that federal secretaries including Secretary Textiles, Chairman FBR and other related departments will sit with the textile industrialists to discuss suggestions in this regard before the budget. He said the committee on textiles will meet in the first week of every month and meet the President of Pakistan and the PM every quarter to resolve problems facing this major sector. We want to make you number one and build you up so that you can play the due role in countrys economic development and GDP growth in the years to come, he added. Referring to the banks loans against textile sector, he said that the govt was working on corporate restructuring act to find out a procedure for dealing with the restructuring corporate loans and save textile sector from banks. Responding to question on the economy, the Advisor said that Pakistans economy will grow at 2.5 percent this year due to domestic and international factors. He said textile sector will get its due share from governments facilities and its share will not be given to other sectors. Earlier, leaders of value added textile sectors highlighted the problems facing this sector.

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