Textile exports drop by 14 per cent in October
Textile and clothing exports of Pakistan have suffered a significant decline in the past one year, falling by 14 per cent as compared to the figures of last October. The fall of one of the major exports of the country has sent
waves of fears to the policy-makers that the deteriorating export proceeds in the textile sector might result in layoffs in future.
No official statement has yet come from the ministry of industries over this sudden decline in export proceeds. The textile export sector showed impressive growth last year and it was attributed to the increasing cotton prices
in the international market. An abrupt fall in the proceeds this year raises a number of questions upon the policies and competencies of the respective ministry.
$1.181 billion worth of textiles and clothing products were exported by Pakistan in the last year and this impressive figure has fallen to $1.021 billion for this year according to the data provided by the Federal Board of Statistics
on Monday. A clear decline of 13.51 per cent in the proceeds has created worries among the government bodies but no response has yet come to public from any of the responsible government official.
“The quantity of the textiles exported during July-October showed a drop of 12 per cent. It is proportionate to 14 per cent increase in gas curtailment for the industry,” says Gohar Ejaz, a business leader.
A sector-wise analysis shows negative growth in export of raw cotton, cotton yarn, cotton cloth and cotton carded and value-added finished products, like garments, knitwear, bed wear and towels. The only area of positive growth
was the export of non-cotton yarn and tents during the last one year. However, an over-all growth of 3.29 per cent in the textile and clothing industry during the past four months is reported. The Ministry of Industries must keep in view that if immediate
remedial measures are not taken, over-all exports will also enter the negative growth in the coming few months, causing serious problems regarding the balance of payments for the country.