Former Governor of the State Bank of Pakistan, Dr. Ishrat Hussain has said that exports play a very important role in keeping the economy stable therefore this sector should be facilitated.
Reasons For Declining Exports
Reasons behind dwindling exports include cost and availability of energy, the lack of skilled labor and lack of interest in imparting training to the staff on the part of export industries, he said.
Dr. Ishrat Hussain who has also served as Adviser to the government said this while speaking at a seminar regarding export competitiveness in the Federation of Pakistan Chambers of Commerce & Industry (FPCCI).
Prof. Dr. Sarosh Hashmat Lodi, Vice Chancellor, NED University of Engineering and Technology, Prof. Dr. Javed Ashraf, Vice Chancellor, Quid-e-Azam University, Islamabad, Prof. Sikandar Mehdi, Senator Javed Jabbar, and leaders of the business community were also present on the occasion.
Dr. Ishrat Hussain said that energy prices and some other reasons result in high cost of doing business which causes loss of competitiveness and retreat in the international market.
Other speakers said that law and order situation also contributed to the increased cost of doing business while some conflicting policies should be rectified.
Regional Countries’ Exports
Our exports are falling since 2013 while some other regional countries have doubled their exports during the same period, they added.
Speaking at the occasion, President FPCCI Zubair Tufail said that regional countries are providing incentives to their export sector. He informed that the price of gas and electricity is 50 percent less than Pakistan while their labor is also cheap.
He further added that energy is cheap as compared to Pakistan in the competing countries like Sri Lanka and Indonesia and that Indian textile exports have surged by over 31 percent in one year.
Zubair Tufail demanded that price of gas should be brought down significantly while the power tariff for the exports sector should be immediately slashed by Rs 3 per unit so that export sector can be revived to whom the future of the country is linked.