LAHORE: The textile industry is seeking Prime Minister Imran Khan’s assistance to persuade China’s in his forthcoming visit to establish a special credit line of $5 billion for new investments and joint ventures between manufacturers of both countries.
According to a report in Dawn, the All Pakistan Textile Mills Association (Aptma) in a recent paper sent to the textile ministry, the stakeholders said the facility should be provided by China under the pay-as-you-earn scheme on the buying-back basis to stimulate investment in exports from Pakistan.
Aptma Punjab official Anisul Haq said on Wednesday this proposal was put forth for enhancing industrial and investment cooperation with China as CPEC enters the next stage.
The paper prepared by Aptma says the special credit line would provide assistance in an early relocation of Chinese textile industry to Pakistan and increase our exports there.
The official said, “There is a big market for Pakistani textile products in China where wet textile processing is being shut down and relocated to other countries,”
The Chinese local textiles and clothing market is projected to be worth $500 billion and Pakistani textile export constitutes a meagre 3% of their textile and clothing imports of $268 billion, indicating there is a huge opportunity there.
Mr Haq said the PM’s first tour to China and the meeting with the top cadre could assist in winning this facility for Pakistan’s largest exporting industry.
He mentioned China should contemplate establishing garment plants in Pakistan for export to avoid Trump tariffs on its American shipments and take advantage of the country market access to the European Union (EU) under the GSP+ scheme.
