An ardent Textile and Apparel Policy 2020-25 has been in the process of getting made public by the government. The said policy comes with lower utilities rates worth Rs960 billion to boost production and exports of value-added textile products and cash subsidies. By the year 2025, it is expected that the Export will be lifted to a minimum of $15.7bn and can go up to a maximum of $20.8bn
With calculated assessments, the policy has been designed to limit the problems faced by the textile sector on a daily basis during the Covid-19 pandemic. The disruption of supply chains, trade adversely affected by the global prices taking a hit etc. Moreover, the policy will help target the focus on small and medium enterprises (SMEs). As well as bring in foreign and domestic investors to the textile sector.
Nonetheless, the inducements of the textile policy focus solely on the cost reduction for doing business operations in the existing industries and no specific link is proposed to either enhance exports or expand production lines.
Alongside this, the first-ever E-Commerce Policy is under consideration as well and will soon pass the implementation phase. This will assist the textile exporters and manufacturers to explore the global market for business on a bigger scale and getting double the amount of business opportunities. Some Pakistani manufacturers and textile exporters have already been registered by the Amazon.
Monetary commitment of of Rs188bn for the first policy and Rs65bn for the second policy was proposed by the government to achieve these targets. In spite of these commitments, the expenses were not and met and the timely payments have not yet been made.
