The Export-Advisory Council on Textiles has instructed the State Bank of Pakistan (SBP) to reassess limits under the Rupee-based discounting facilities of the Export Finance Scheme (EFS), aiming to provide maximum facilitation to export sectors following concerns raised by council members.
Chaired by caretaker Minister for Commerce and Industries, Gohar Ijaz, the council discussed the challenges faced by the export-oriented sector.
Members noted disruptions in the implementation of policy interventions and support measures, making the sector less competitive due to high energy costs, liquidity issues, policy rate spikes, limited credits, import restrictions, and exchange rate volatility.
The council emphasized the need for medium-term predictability on key indicators such as energy costs, exchange rates, and borrowing costs for accurate costing and future orders. It highlighted the textile and apparel sector’s dependence on cotton-based exports and urged a review of customs and anti-dumping duties on non-cotton materials.
On market access, the council stressed the importance of gaining preferential market access from the USA, Japan, and Canada to level the playing field with regional players. The Commerce Ministry reported ongoing discussions at the G2G level to explore this possibility.
To address Pakistan’s image deterioration in international markets, private members recommended engaging international consultants for effective trade diplomacy, especially in the USA and EU.
The council also discussed the need for effective utilization of Export Development Fund (EDF) proceeds and proposed the development of a framework. The members emphasized the importance of compliance with international social, labor, environmental, and OSH standards.
Lastly, the council highlighted the need to improve inland transport infrastructure and reduce logistics costs. The meeting concluded with the announcement that exporters surpassing $1 billion in exports by June 2025 will be conferred with the highest civil award.
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These exporters already have preferential tariffs from the West – who can afford to be generous. These same exporters want to burden our poor nation by enriching themselves on subsidies of every possible expense that they incur. It is indeed shameful.
Absolutely amazing post
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