Page 8 - May-June-2017

8

News

Textile and clothing

exports on the rise

Textile and clothing exports rose 6.2 per cent the preferential access to the European Union
year-on-year to $1.064 billion in March, mainly under the GSP+ scheme hasn’t helped boost
driven by value-added products such as garments, proceeds due to slump in demand. In the nine
the Pakistan Bureau of Statistics said on Monday. months through March, the value of exported textile
The increase in export proceeds was also evident in and clothing products fell 0.89pc year-on-year to
rupee terms. The data for the month shows that $9.278bn. Overall export proceeds in July-March
exports of value-added products grew during the were down 3pc to $15.118bn.
month, both in terms of value and quantity.
Last year, the government announced a textile
Product-wise details show that exports of ready- policy involving 4pc rebate on the exports of
made garments rose 19.5pc while that of knitwear readymade garments on a 10pc incremental
grew 5.4pc in March. Exports of bedwear edged up increase over the preceding year, 2pc on home
by 5.4pc while those of towels 15.8pc during the textiles and 1pc on fabric. However, no support was
month. In primary commodities, exports of cotton announced on raw material or yarn exports. Under
yarn witnessed a year-on-year increase of 5pc while this policy, the government paid out Rs2.5bn to
those of cotton cloth and yarn (other than cotton’s) exporters in the preceding fiscal year. This shows
dropped 5.5pc and 26.9pc, respectively. the policy worked to some extent and promoted
exports of value-added textile products.
Exports of made-up articles, excluding towels,
increased 16pc, and that of tents, canvas and From Jan 15 onwards, the government has not only
tarpaulin grew 71.8pc. Proceeds from art, silk and increased the rebate to 7pc for readymade
synthetic textile increased by 2.7pc while those from garments, but it has also allowed cash support of
raw cotton dropped 2.9pc year-on-year. 4pc on yarn and grey cloth under a Rs180bn
package announced by the prime minister.
One reason why textile exports are in decline is that