All Pakistan Textile Mills Association (APTMA) has urged the government for continuation of Regionally Competitive Tariffs of $ 6.5 per MMBtu of gas (RLNG ) and 7.5 cents / kWh of electricity.
“On our request Imran Khan’s government reposed its confidence in the Textile Industry, by providing complete support,” said Gohar Ijaz, Patron-in-Chief of APTMA on Sunday.
Pakistan’s Textile Exports are all set to increase to the level of $16.5 Billion during the fiscal year 2021 in comparison to the exports in FY18 which were $13.5 billion and will continue to grow up to $20Bn in June 2022, making a total of $27 billion in exports in June 21 and $30 billion in June 22, he expressed a sense of optimism.
Regionally Competitive Energy Tariffs policy proposed by Pakistan Institutre of Development Economics (PIDE) has played a vital role in the current year’s exports and is critical to sustaining enhanced exports, employment and bring in new investment. Textile industry has capitalized on the given incentives to help the government achieve the ultimate aim of export maximization, job creation and the realization of economic prosperity. Pakistan’s export industries (including textiles) witnessed an exceptional growth of 9% in 9 months of FY21. The increase in export demonstrates the competitiveness of Pakistan’s exports –when inputs are provided at regionally competitive prices, exports were achieved despite an unfavourable international environment. The industrial electricity tariff of the competitors is much lower than Pakistan, making the South Asian nation uncompetitive in the increasing market competition.
“Our objective to become an export “powerhouse” cannot be achieved until power tariffs are revised to a competitive and stable level,” Gohar Ijaz aid.