The textile and commerce ministries in Pakistan won’t be merged. Instead there will soon be a minister to handle only textiles. The absence of a textile minister and the proposed merger of textile and commerce ministries had created uncertainty and affected the export-oriented textile industry. Textiles contribute 55 per cent to the country’s total exports. The sector has become important especially after the grant of GSP Plus status by EU as 75 per cent products incentivised under the package relate to this sector.
Currently, Pakistan’s textile industry comprises cotton spinning (yarn), cotton weaving (cloth), cotton fabric, fabric processing, home textiles, towels, hosiery and knitwear and apparels. These are manufactured both on a large scale as well as by small and medium cottage units.
Pakistan’s exporters feel since regional competitors, including India, China and Bangladesh, have a separate and dedicated ministry of textiles, Pakistan must follow suit.
There is immense pressure from textile industry stakeholders, including value-added and spinning, to go forward in this direction. They say a full time textile minister is vital keeping in view the strategic importance of the sector. Only then will it get the required attention to enhance performance and increase exports.