Pakistan - Value-added textile associations warn of strikes

The associations of value-added textile on Wednesday warned the government of countrywide protests and strikes if it did not restrict the cotton yarn export to maximum 50 million kg per month within the current week. “The government had agreed last month to cap the cotton yarn export to 50,000 kg a month but did not implement its decision, which further increased the commodity shortage on the local market,” said chief co-ordinator of PHMA M Javed Bilwani.

Speaking at a press conference at Pakistan Hosiery Manufacturers Association (PHMA) House, he said that “the government has made us fools with a wrongly scripted SRO on capping of yarn export”. There were also representatives of value-added textile associations including Pakistan Cloth Merchants Association, Pakistan Sweaters Exporters Association, Towel Manufacturers Association, Pakistan Textile Exporters Association, Pakistan Cotton Fashion Apparel Manufacturers Association etc.

Bilwani said: “Despite meeting with Federal Finance Minister Shaukat Tarin who accepted that the respective SRO had encountered problems in its script and said that it will immediately be corrected, but there is still no corrective move by the government.” He added that the grim situation, which was prevailing prior to December 8, 2009 decision, still persisted.

He said: “The government has not stopped the additional volume of yarn export over 50 million kg and still 62 million kg of the commodity was exported, which is a violation of its decision.” He termed the SRO as “eyewash” and mere a piece of paper on which there is no hope of implementation, saying that the value-added textile units are rapidly going towards closures in the wake of cotton yarn shortage.

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