Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) urges the approval of new textile policy 2020-25 by the Economic Coordination Committee (ECC) of the Cabinet. It is vital for new investment and marketing plans in this primary export-oriented sector.
Adeeb Iqbal Sheikh, Vice Chairman of PRGMEA, said that Prime Minister Imran Khan has already approved the five-year textile policy for submission to the ECC. However, the ministry was unable to oblige due to undisclosed reasons. He said the government announced several schemes, including settlement of outstanding refund claims, rationalization of refund regime, the establishment of Exim bank, duty-free import of textile machinery, and reduction of mark-up rate for export refinance in the past. However, the sector was not getting benefits yet.
Adeeb claimed that targets set were ambitious and financial commitments of Rs188 billion and Rs65 billion respectively for the first 2009-14 and second 2014-19 Textile Policies were made by the past governments to achieve the targets. However, commitments were not fulfilled, and timely payments were not doled out in financial support schemes. Further, funds were not allocated for public sector development under infrastructure, vocational training, productivity, and compliance-related programs.
The textile sector makes for about 60 percent of the country’s total exports, besides providing millions of direct and indirect jobs, and this required a valid policy, he added. He urged the government to redress the industry’s problems through comprehensive and innovative solutions in the new textile policy. He said that a clear long-term policy would provide investors a clear vision that Pakistan’s government is ready to support the apparel sector of Pakistan on a long-term basis.
He urged the government to redress the industry’s problems through innovative solutions in the new textile policy. He maintained that timely implementation of a long-term policy would bring new investments in the country and enable the industry to achieve $30 billion in exports in the next five years.
