Textile mills using polyester fiber as the basic raw material expressed great dismay over the unsustainable hike in its prices at a recently held meeting of the All Pakistan Textile Mills Association (APTMA). The participants feared that an unprecedented increase in Polyester Fibre (PSF) prices would lead to further closing of yarn manufacturers besides adversely affecting the entire textile export value chain.
Pakistan is already facing shortage of basic textile raw materials cotton and PSF due to the protection and incidentals on the import of PSF (20 percent) and cotton (11 percent). Textile exporters are being forced to cross subsidise PTA and PSF plants whereas exporters are given rebates and draw backs in other countries.
Recently domestic polyester manufacturers increased their prices by over 20 percent, which further crippled the market situation. Many exporters therefore decided to close down their operations for upto 10 days from next week.
