Engr Mansoor Ahmed
Unwelcoming the future of Textile industry, the Pakistan Economy Watch (PEW) has said the government should take urgent steps to save it from collapse. Textile is very important sector of the economy; it is the largest manufacturing industry in Pakistan. Textiles comprise 57% of Pakistan’s export revenues. It is the largest Forex earning sector which is providing millions of jobs in urban areas. However, in recent years, textile exports have declined significantly. Textile export was recorded in the year 2015-2016 at $10.395 billion which was in the year 2014-2015 at $11.625 billion. Overall textile exports continue to fall since last six years which has gained momentum in the last three years. There are seventy percent of large textile units located in Punjab and thirty percent of these units are closed due to scarcity of energy hitting exports and jobs. This is very grave situation as Bangladesh and Vietnam continue to eat up Pakistan’s share in the international market due to decline in exports. The textile sector is going down since years but the government has not taken any meaningful steps. Most factories shutting down are small or mid-sized plants unable to bear the extra cost of prolonged power outages while larger factories have invested in their own power, including diesel generators, to cope with the electricity deficit. The government should take significant measures to ensure the growth of textile exports and sustain the employment provided by the sector.