Federal Minister for Commerce, Syed Naveed Qamar, has said that the government is committed to providing a level playing field and reducing the cost of doing business for export-oriented sectors, including textiles, to boost exports and reduce the current account deficit.
He expressed these views while addressing a virtual session organized by South Punjab Investment Forum in collaboration with U.S. Agency for International Development (USAID).
The minister said, “Textile exports during fiscal year (FY) 2021-22 reached a historically high level of $19.3 billion despite the fallout of COVID-19 and severe economic challenges.”
While mentioning that now is the time to promote value-added products, he stated that the government’s incentives would only be available to value-added products.
Qamar also highlighted that the incumbent government has taken numerous steps to support the industry. They include the supply of energy at competitive tariffs, disbursement of approximately Rs. 42 billion from April to June 2022 to mitigate prevailing liquidity issues due to severe economic challenges, duty-free import of cotton, and reduction of custom duties on import of dyes and chemicals. He added that the government has continued the duty-free import of textiles and apparel machinery.
He also informed that the Ministry of Commerce has formulated the ‘Textiles and Apparel Policy, 2020-25’ which would address matters including value addition, product diversification, skill development, productivity, ease of doing business etc.
“We need to attract investment in the textiles and apparel sector to enhance our manufacturing capacities. Small and Medium Enterprises (SMEs) across the world are the engine of growth for any country”, remarked Commerce Minister
He urged the industry to invest in ‘Made in Pakistan’ products and said that in the global textile, Pakistan has less than two percent share which needs to be enhanced with practical steps.
