FLASHNEWS:

Textile Processing Industry Grapples with Utility Shortages and Cost Hikes, Says Industry Leader

KARACHI: The textile processing industry in Pakistan is facing significant challenges due to ongoing shortages of gas and water, alongside escalating electricity costs, according to the All Pakistan Textile Processing Mills Association (APTPMA). Rizwan Lakhani, the chairman of APTPMA, highlighted these issues, noting that the inconsistent supply of essential utilities is driving up production costs, rendering Pakistani products less competitive in the global market.

According to APTPMA, the surge in global petroleum prices is exacerbating the situation by increasing the cost of dyes and chemicals, further inflating production expenses. Lakhani emphasized the critical role of the textile processing sector in exports and employment, warning that the current environment makes it difficult for industrialists to maintain production levels and meet international order demands competitively.

Lakhani urged the government to prioritize a steady supply of gas and water to the industry and to develop policies that align electricity tariffs with those of regional competitors. He suggested the introduction of long-term energy tariff plans, a reassessment of industrial electricity surcharges, and support for renewable energy adoption. Additionally, he called for improved water access through treatment and recycling initiatives and for financial incentives to invest in modern and sustainable technologies.

The APTPMA chairman advocated for a collaborative effort between the government and the industrial sector to devise a strategic policy aimed at reducing costs and boosting export capacity. He proposed duty and tax concessions for importing modern machinery, timely export refunds, and incentives for technological advancement. Addressing these challenges, Lakhani argued, would enhance Pakistan's competitiveness against textile giants like China, Bangladesh, and India, potentially boosting exports, employment, and economic stability.