Garment manufacturers and exporters of Pakistan want government policies to be friendly towards their business. They want the government to take concrete measures for un-interrupted supply of electricity and gas to the apparel industry and to all its supporting sectors. As per them, now they are forced to spend on energy infrastructure like wood and coal boilers that eats into their margins. This is a serious problem. The energy crisis has hampered industrial growth, slowed down GDP and forced industries to relocate, contributing to massive unemployment and disparities. The energy shortfall has also diverted foreign investment away from Pakistan.

Garment exporters complain of delays in sales tax refunds. Facing a liquidity crunch they want zero rating for the textile sector to be restored. The government had withdrawn the zero rating from the textile, leather, carpets, sports, and surgical good sectors. Exporters say this withdrawal at a time when the country has a huge trade gap has resulted in inflation and the devaluation of the Pakistani rupee. They want export-friendly policies to stop the flight of capital and save the industry. The reasoning is that the export volume of Pakistan’s apparel products can be increased if the government takes all stakeholders on board and finalises export policies after consultations.