“Representatives of different value-added organizations, while talking to
Business Recorder stated that the value added textile
industry is crippled owing to frequent load shedding, high electricity
and gas tariff, multiple duties and taxes, resulting in high cost of
doing business in Pakistan, as compared to the neighboring states. ..The prices of the export items to the EU and USA have increased due to increase in cost of doing business.
Moreover, an amount of more than Rs 42 billion has stuck up with the government in
various drawbacks and refunds regimes. Value-added textile export is
hit hard by high cost of raw material including cotton and polyester…The textile export industry in Pakistan was the one, which provided maximum
employment, and it was a hard fact that unemployment started rising due
to constant closure of these units. Unless immediate steps were taken,
it would be difficult to achieve textile export target”.
Date:10/17/2010
Source:Reuters