ISLAMABAD: Chairman of All Pakistan Textile Mills Association (APTMA) Mohammad Yaseen has suggested the government to take effective measures in order to compete with the regional competitors, ARY News reported.
The Chairman APTMA has said India, Bangladesh, Vietnam and Sri Lanka are Pakistan’s toughest competitors in textile industry.
According to the owner of a leading spinning group of Faisalabad, India has expanded its capacity to hurt Pakistan economically by dumping its produce, forcing the key textile industry to crumble.
Defining the differences between the two countries he said , in India electricity is cheaper, and interest rates of banks and cost of doing business are low. There is no load-shedding of gas and electricity.
Indian spinners have been dumping their duty-free yarn in Pakistan. They are also getting 2.5 per cent rebate from the Indian government. Whereas, Pakistani and even Chinese spinners have to pay 5 per cent duty on yarn export to India, sources in textile circles argued.
In contrary, Pakistan has been facing severe issues including high electricity rates, load-shedding problems, and high interest rate. And in order to take advantage of duty free access to European Market government should take immediate steps, Mohammad Yaseen said.