Looking ahead: Textile industry optimistic

about growth prospects

By Farhan Zaheer
Published: November 3, 2013

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While the standard GSP allows 176 developing countries and territories to enjoy easy access to EU markets, the upcoming
GSP Plus will be limited to 89. PHOTO: FILE
KARACHI:
The textile industry has seen a strong growth in recent months but most
industry players are pinning their hopes on the expected approval of
European Union’s (EU) Generalised System of Preferences (GSP) Plus
status for Pakistan in January 2014.
For them, the GSP Plus is a game changer for the Pakistani textile industry, as
it is expected to boost annual exports by $1 billion.

“Textile exports have increased by 4% in the first three months of fiscal year
2013-14 but this increase is below our expectations. What is more important
for us is the expected grant of GSP Plus status by the EU. If we get that, our
textile exports will jump by at least $1 billion a year,” All Pakistan Textile
Mills Association (Aptma) Chairman Yasin Siddik toldThe Express Tribune.
Textile exports in September 2013 sharply increased by 16% compared to
August 2013. Overall textile exports in the first three months (July to
September) of 2013-14 jumped to $3.58 billion, up a significant 9% year-on-
year (YoY) and a decent 4% quarter-on-quarter (QoQ).

“I am hoping to see more growth in exports in the ongoing quarter (October to

December),” said Siddik, who believes that exports of both value added and
non-value added products would see a decent rise in coming months.

Siddik added that textile exports must increase by at least $1 billion in case
Pakistan wins the GSP Plus trade preference facility.

Analysts believe that the increase in textile exports is mainly aided by stable
cotton prices – a key raw material – and depreciating rupee against the dollar
over the last few months.

Any increase in cotton prices, they say, will increase profit margins of textile
companies, especially in the second half of fiscal year 2013-14.

Analysts also stress that textile exporters that have higher share of finished or
value added products will benefit more if Pakistan gets the GSP Plus status.
“Whatever increase we see in textile exports in coming months, it will never
be comparable to the jump that we may enjoy after GSP Plus,” said Gul
Ahmed Textile Mills Executive Director Ziad Bashir.

“Exports are expected to sustain themselves in the ongoing quarter but I do not
think they will increase significantly,” added Bashir.

Pakistan has assured the EU that it is going to implement most of the

international conventions required to qualify for the GSP Plus. Most
importantly, Pakistan has told the Europeans that it will continue the
moratorium on capital punishment – one of the most important EU demands
before granting the GSP Plus facility.

GSP Plus is a trade arrangement that allows exporters from developing

countries to pay lower or no duties on their exports to the EU.

Countries that want to get GSP Plus need to effectively implement as many as
27 international conventions on environment issues, good governance, labour
rights and human rights.

While the standard GSP – which will stay in force until the end of 2013 –
allows 176 developing countries and territories to enjoy easy access to EU
markets through various duty reductions for certain product lines, the
upcoming GSP Plus will be limited to 89 low and lower middle-income
countries.

Since many of the countries that enjoy the GSP status are not expected to fall
in the GSP Plus group, Pakistan would be in a position to export more of its
products to the EU on low duties.

Published in The Express Tribune, November 3rd, 2013.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed
and join in the conversation.

http://tribune.com.pk/story/626380/looking-ahead-textile-industry-optimistic-
about-growth-prospects/

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Textile Asia Exhibition: Pakistan may strike business deals worth $700
million: Baig
March 30, 2015
RECORDER REPORT
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Former adviser to prime minister on Textile Industry Dr Mirza Ikhtiar Baig said here on
Sunday that the country is expecting business deals worth $700 million during Textile Asia Exhibition.

Baig, who was chief guest at the 14th Textile Asia Exhibition, during his conversation with media persons at the Expo Centre said:
"We have organized businessmen to businessmen (B to B) meetings among the local traders and foreign delegates at this mega
event and expect to have business deals worth $700 million."

He said that the purpose of organising the exhibition was to further upgrade and equip the local textile sector with latest technology
being used internationally. Some 386 business delegates from 39 countries are visiting the exhibition where around 515
international and 35 local companies are showcasing their brands, he added.

The machinery and equipments which are on display at the exhibition were producing value added products for increasing volume
of exports, he said and hoped that local businessmen would benefit from this technology by adding value to their products.

"In fact, despite all odds and challenges we are working on war-footing basis to attract the foreign investment in Pakistan. Today
we have succeeded in bringing the international business community here and the foreigners with whom I talked are quite satisfied
with the city's environment for doing business and they are motivated to invest in the port city. This increasing level of trust among
the foreigners is a good omen for our future," he added.

Speaking on the occasion, President of E-commerce Gateway Pakistan, Dr Khorsheed Nizam, said that participation of both local
and foreign traders in the exhibition this year was unprecedented. The local traders are taking keen interest in technology and
machineries being showcased by international exhibitors here. Of the total 415 exhibitors in this show, China's participation is
almost 50 per cent, he added.

"We are in the process of striking some business deals here very soon," a Chinese exhibitor told Business Recorder
http://www.brecorder.com/cotton-a-textiles/185:pakistan/1166851:textile-asia-exhibition-pakistan-
may-strike-business-deals-worth-700-million-baig/?date=2015-03-30

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MoW&P & textile industry: lack of liaison causing production losses

March 29, 2015
HAMID WALEED
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The lack of liaison between the Ministry of Water and Power (MoW&P) and the textile
industry is causing production losses since power distribution companies are least bothered about sharing information
with the industry on power-cut schedules.

The sources claimed they had repeatedly urged the ministry officials to keep them updated on the power supply
schedules but of no use since the latter considered it their insult of developing liaison with the industry.

Strangely, the textile industry has paid through nose for unprecedented power supply shortages since November 2007.
Several textile units, solely dependent on the power supply, have shut down their operations while the rest of the
industry is operating on a 30 percent production cut because of energy constraints.

When asked if they had ever made a representation to the ministry in this connection, the sources said they had none
whatsoever since they claimed the officials never liked it. Interestingly, the Ministry of Petroleum and Natural Resources
has behaved differently by accepting the industry's demand of supply gas on hourly basis for five days a week, instead
of restricting it to twice a week supply.

The sources said a good working relationship with the Sui Northern Gas Pipelines Limited had improved the industry
productivity and that the bilateral relations had run smoothly for the past few years. However, this is never the same
true of the power ministry where both sides were always at the loggerheads.

Specially, Water and Power Minister Khawjah Muhammad Asif has been very critical to the textile industry. This
negative approach trickles down in the ministry up to the level of distribution companies where the field staff is always
eager to get bribery for power supply.

The industry circles have urged the ministry to improve the working relationship with the association and the industry.
"It will help us in planning out our production schedules in line with the power cuts from the ministry," the minister said.

Copyright Business Recorder, 2015

http://www.brecorder.com/cotton-a-textiles/185:pakistan/1166346:mowap-a-textile-industry-lack-of-
liaison-causing-production-losses/?date=2015-03-29
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http://www.textile.gov.pk/gop/index.php?q=aHR0cDovLzE5Mi4xNjguNzAuMTM2L21vdGkv

http://www.aptma.org.pk/

http://www.ptj.com.pk/

http://www.ptea.org.pk/

http://www.slideshare.net/Alishah28/overview-of-pakistan-textile-industry

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Friday, February 21, 2014

Introduction, History and Overview of Textile

Industry in Pakistan

Overview:
Textile shields our bodies and brings comfort to our homes. Textile products thus cater to a basic
human need, they are among the most important goods fabricated and traded by mankind and have
thus played a central role in history. It is no wonder that historians have paid a lot of attention to
spinning and weaving, the basic process in producing textile. Many natural and artificial fibers have
been spun into yarn and woven to cloth over the past centuries, but wool and cotton have been
important fibers, considering global production over the entire period from 1650 until recent times.
This period has been chosen to be able to show processes of industrialization and de-industrialization
in the world The cotton textile industry represents the very pluses of the country’s economic activity.
The industry, apart from catering with the basic need of clothing, has been earning substantial
exchange through export.
At the time of independence in 1947 there were only 3,000 looms installed in the mills sector. Now the
installed looms are around 16,000 in the mills sector and 300,000 in power looms sector. The cloth
processing facilities have also been increased with the increase in production of cloth. Textile industry
is the dominant manufacturing sector in Pakistan. It is based on locally available raw cotton, employ
40% of total industrial labor force and contributes 27% of industrial value addition with 60% share in
total export of the country. The sector’s weight in country’s industrial production is 18% and
approximately 30% of value addition in manufacturing during the eight five year plan. Pakistan is the
world’s largest exporter of yarn. Textile production comprises of cotton, cotton yarn, cotton fabric,
fabric processing (Gray-dyed-printed), home textile, towels, hosiery & knitwear and ready-made
garments. The industrial revolution’ created immensely wealthy textile employers and condemned the
actual producers to work in more efficient factories. The living conditions of textile workers and their
efforts to improve their situation have largely characterized the debates in social and economic history
on the consequences of industrialization. Specific stages of textile production, whether in domestic,
artisan or factory industry, were almost invariably divided between men and women.
In some cases spinning was performed exclusively by women, in other cases by men. Certain kinds of
products were only made by one, others by the other sex. Sometimes specific machines were only
operated by one sex. Usually female workers (and children of both sex) earned for less than men, even
in performing exactly the same tasks. These and other aspects of the gender-ed nature of textile
production can only be explained sufficiently by a thorough historical analysis, which compares these
mechanisms in different parts of the world, throughout time. Textile early became a global product.
Wool and cotton were cultivated in one place, transported to center where yarn cloth were produce,
and the (partly) finished products were again moved to places all over the world.

Introduction:
Bismillah is a vertical textile mill in Pakistan, primarily focused on home textile. It started its business
in1989 as a commercial exporter. It than expanded into exporting printed fabrics mainly to the US
market. In 1995, the company decided to setup its own printing and dying mill. Its first year annual
sale was less than one million dollars, today its sales are in excess of 35 million dollars. Bismillah has
several manufacturing units located in different of the city of Faisalabad. Faisalabad is the third largest
city of Pakistan and is known as the Manchester of Pakistan because of its textile industry. Later on,
the company added cut’s sew, weaving, spinning and yarn dyeing into its operation. Today, the
company enjoys a unique position in Pakistan textile industry. It is not only one of the top mills in
terms of capacities but a leader in high value added products.
Faisalabad yarn market is Asia’s largest yarn market. It is located in the heart of Faisalabad, near Clock
Tower. Bismillah’s purchase office is located in this market. Yarn and greige fabric purchase are made
in this office. The chairman of Bismillah, Abdul Majeed Sheikh, with his vast experience and most
credible reputation, he makes sure that the company’s needs of yarn and grey fabrics are met in a
professional and most effective manner. The drive and commitment to be the leader in this industry
continues. The company has recently setup a very high-tech cut’s sew plant, Which has doubled its
capacities which has doubled its finished products.
Qualified ownership is supervising this firm and established it in a short time. Now Bismillah textile has
its own manufacturing units located in different parts of Faisalabad.

1989 – started as a trading house for export of greige goods.

1992 – export of printed piece goods, mostly muslin and for the US markets.
1995 – established a printing plant.
1996 – established a cut and sew operation.
1998 – established a weaving mill, non-woven, energy and quilting.
2001 – 148 air jet looms.
2003 – spinning mill.
2003 – yarn dying for cotton and synthetic.

Mission Statement

The purpose of existence of the company is its customer. Hence, it endeavors to give value for money
by way of merchandise of commensurate and acceptable quality. Vendors to the company are carefully
selected on basis of parameters of quality, reliability and price, and are considered as essential partners
in the company’s pursuit of excellence.
The company requires its vendors to company with national laws and regulation, and with international
convention concerning the protection of the environment working conditions and child labour.

The Motto
To achieve the highest quality in the most efficient way by employing the skilled workforce and latest
technology without compromising on our commitment to safe environment.

Target Corporation
Standards of vendor engagement target corporation and its affiliated companies, conducts its business
in an ethical manner. We are concern about human rights. We expect our business partners to share
our ethical concerns. We use the following standards in selecting our business partner and expect
compliance with these standards by our business partner, including all manufactures, contractors,
subcontractors and suppliers utilized in the manufacture and finishing of product that are ordered by
target corporation or any of its affiliated companies.

1. Safe and healthy workplace

2. No forced or compulsory labour
3. Fair disciplinary practices
4. No discrimination
5. Reasonable working hours and overtime
6. Fair wages
7. No child labour
8. Country of origin

Values

1. Honesty & integrity

 2. Hard work
3. Commitment
4. Acceptance to change

Orignal Source of this article : http://articles.mypage.pk/2014/02/Overview-of-Textile-Industry-In-

Pakistan.html#ixzz3VuE3FUG8
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