To secure market access for textile products abroad, negotiation for bilateral agreements with EU and the US is actively taken up by the ministry of commerce as there is a ready market of our products in these regions. The statement was made by Zafar Mahmood, Secretary Ministry of commerce during his visit to All Pakistan Textile Mills Association (Aptma) in Karachi on Friday.

Secretary Commerce informed the meeting that a delegation of buyers of textile products of the US is expected to visit Pakistan in September/October 2010. He further informed that China is considering to facilitate Pakistan by providing concession in exports as well as concessionary arrangements for participating in number of exhibitions taking place over there.

Mahmood, while answering a query, said that he strongly believes in free market mechanism and advocates against ban or restriction on a sub sector of a value chain as it is against the rules of WTO Agreement. Shahzad Ahmed, Chairman - Aptma - in his welcome address expressed gratitude to Secretary Commerce for his efforts in helping Aptma achieve restoration of free market mechanism in the textile trade and has allowing regulatory duty on yarn exports to lapse.

He informed Secretary Commerce that the industry has to import about 3.5 million bales ie 25 percent of consumption but have never demanded any ban or restriction on export of cotton. He said Aptma, on various occasions, pointed out that the spinning industry is in serious shortage of both its primary raw materials viz. cotton and polyester but a number of trade restrictions have been imposed on PSF. Resultantly, usage of synthetic fibre is only 18 percent of Pakistan's raw material mix as compared to the 60 percent prevalent in the world.

He said that there is currently serious tariff anomaly whereby PSF blended yarn has 0 percent import duty but the import of PSF as raw material is subjected to a punitive regime of 6.0 percent import duty. Shahzad appealed that if Pakistan has to reach an export target of $25 billion by 2014, all restrictions and tariffs on import of raw materials of limited availability in Pakistan have to be removed, while import of PSF from India be allowed through all entry points including Wagha and Khokhrapar etc to meet the shortage. back