Textile mills in Pakistan feel their cost of doing business is much higher than that of their regional competitors, like India, Bangladesh, Vietnam and Sri Lanka. Therefore the All-Pakistan Textile Mills Association (APTMA) has urged the government to make the costs of the export-oriented industry compatible with these countries'.
APTMA points out that the cost of doing business in Pakistan has increased so much that it has reached an alarming level making the country’s products uncompetitive in the global market. An important component of total business is the cost related to socio-economic environment in which the business operates. Due to the inefficient and unfriendly socio-economic environment, the cost of operating business in Pakistan is considerably higher. Consequently, Pakistani businesses are at a disadvantage. The main factors of high cost of business in Pakistan are raw material, utilities, finance, human resource, technology, infrastructure and supporting institutions.
Electricity and gas tariff and the discount rate in Pakistan are much higher than in other countries in the region. The per unit electricity tariff in Pakistan is $0.17 while it is $0.13 in India, $0.09 in Bangladesh and Sri Lanka and $0.073 in Vietnam.
www.aptma.org.pk/
