The All Pakistan Textile Mills Affiliation (APTMA) and the Pakistan Hosiery Producers and Exporters Affiliation (PHMA) have reportedly crossed swords over the duty-free import of cotton yarn, with the latter demanding abolition of customs and regulatory duties on such imports, saying the uncooked materials was unavailable for home attire and residential textile sectors.
Former PHMA chairman Shahzad Azam instructed a Pakistani media outlet that whereas the spinning sector is allowed to import cotton freed from responsibility, the attire and residential textile sectors weren’t allowed the identical, which is a discriminatory apply.
The previous PHMA chairman accused spinning millers of forming a cartel and blackmailing them hosiery producers by promoting cotton yarn at greater charges. “Why ought to we purchase costly cotton yarn from them after we can import it at cheaper charges?” he questioned.
In the meantime, in keeping with APTMA Punjab chairman Abdul Rahim Nasir, there isn’t a scarcity of cotton yarn in Pakistan. In reality, the import of cotton yarn through the first quarter of fiscal 2019-20 was 11,047 tonnes, whereas it rose to 13,976 tonnes within the first quarter of fiscal 2020-21, exhibiting an increase of 27 per cent, he mentioned.
As well as, yarn exports have additionally diminished considerably, signifying an enhanced provide to additional processing and worth addition within the nation, Nasir mentioned.
He mentioned the obvious ‘scarcity’ being touted was primarily based on business issues which have affected the worth of yarn worldwide.
The APTMA official acknowledged the notion that Pakistani exports would miss Christmas orders attributable to a ‘scarcity of yarn’ is fake as manufacturing and delivery procedures require at the least three to 4 months, a timeframe which has lengthy handed.
The actual problem is rooted in incorrect export pricing and misplaced expectations on the change charge, he added.
Fibre2Fashion Information Desk (DS)
The All Pakistan Textile Mills Affiliation and the Pakistan Hosiery Producers and Exporters Affiliation have reportedly crossed swords over the duty-free import of cotton yarn, with the latter demanding abolition of customs and regulatory duties on such imports, saying the uncooked materials was unavailable for home attire and residential textile sectors.