Pakistan's textile exports have fallen by USD one billion during April to August due to growing energy crisis and other industry related problems, a textile industry association has said.
In a statement, the All Pakistan Textile Mills Association (APTMA) said that the exports had fallen by another USD 200 million in September.
"The situation has worsened in the last six months owing to the energy crisis and we could lose around USD 2.3 billions in the next six months," the Chairman APTMA, S M Tanveer said.
Exports worth USD 2.3 billions could be lost if no immediate remedial measures are taken to resolve the energy crisis which has badly hit production, he said.
The data for September suggests that exports of cotton yarn and cotton cloth declined by around 22 and 14 per cent respectively over the corresponding period last year, he said.
Tanveer said that the growth in value-added sector is also below the potential, particularly in view of the GSP+ facility from the European Union (EU).
The trend is an indication that the textile industry, particularly in Pakistan's Punjab district is unable to tap its full potential, he added.
"This situation is disturbing our entire cotton economy as a crisis was also brewing for cotton farmers, ginners, and the industry itself which is facing eight hours of electricity outages and 16 hours of gas load-shedding per day," he said.
The energy crisis had also led to closure of around 100 textile mills fully or partially in Punjab.
The increase in industrial tariff twice during 2013 and slapping of 30 paisa per unit equalising surcharge this month has jacked up the off-peak industrial tariff from Rs 7.75 to Rs 12.50 per unit.
