KARACHI: The Pakistan Hosiery Manufacturers & Exporters Association (PHMA) has welcomed the announcement made by Prime Minister Shehbaz Sharif regarding a comprehensive set of measures aimed at strengthening Pakistan’s industry, trade and export sectors.
Commenting on the Prime Minister’s address to leading exporters and business leaders at the PM Office in Islamabad, PHMA office bearers said that the reduction of the export refinance rate by 300 basis points (bps) to 4.5 per cent, along with a reduction in industrial electricity tariffs by Rs4.04 per unit, is a timely and much-needed intervention for export-oriented industries.
“These measures will significantly ease the cost pressures faced by exporters, particularly the textile and hosiery sector, which has been struggling with high energy and financing costs, as well as a severe liquidity crunch in an increasingly competitive global market,” PHMA Central Chairperson Muhammad Babar Khan, Chairperson (North) Abdul Hameed and Chairperson (South) Faisal Arshad Sheikh said in a joint statement on Saturday.
They added that the government must accord top priority to national exports in general and textile exports in particular to drive export-led growth in Pakistan, while addressing key impediments contributing to the decline in exports, including high production costs, changes in the taxation regime and the discontinuation of export facilitation measures.
“Pakistan’s exporters have demonstrated resilience and efficiency despite challenging conditions. The prime minister’s acknowledgement of the role played by business leaders and major exporters is encouraging and reinforces confidence within the industrial community,” they said.
They further emphasised that if the government considers PHMA’s genuine demands to boost exports — including the restoration of the DLTL scheme for textile exports, timely release of exporters’ refunds, reintroduction of the Technology Upgradation Fund, reinstatement of exporters under the final tax regime instead of the normal tax regime (NTR), and restoration of the Export Facilitation Scheme to its original 2021 status — it would positively contribute to export growth. They noted that these measures would enhance competitiveness with regional countries, support capacity expansion and ultimately result in sustained growth in Pakistan’s exports.
PHMA office bearers also appreciated the government’s decision to reduce wheeling charges for industries by up to Rs9 per kWh, noting that this step would encourage efficient energy utilisation and enable industries to share surplus power with neighbouring industrial units, thereby improving overall industrial productivity. They welcomed the prime minister’s broader vision to move the economy from stabilisation towards sustained growth, emphasising that consistent policy support is essential to boost exports, attract investment and generate employment.
They also termed the announcement of blue passports and ambassador-at-large status for top export awardees as a positive recognition of exporters’ contribution to the national economy. They urged the government to ensure effective and immediate implementation of the announced relief measures and to maintain close consultation with industry stakeholders so that Pakistan’s export sector can achieve long-term sustainability and global competitiveness.
They further called on the prime minister to take immediate measures on a war footing to address the impact of additional US tariffs and the EU-India Free Trade Agreement on Pakistani exports, and to devise a national strategy in consultation with stakeholders and exporters’ associations.
Meanwhile, the Rice Exporters Association of Pakistan (REAP) has welcomed the relief package announced by the prime minister aimed at supporting export-oriented industries, particularly the rice sector.
Senior Vice Chairman of REAP Muhammad Jawed Jillani and Group Chairman Abdul Rahim Janoo stated that these timely measures would help the rice export sector recover from the decline experienced over the past six months. They expressed optimism that, with continued government support, Pakistan’s rice exports would be able to match or even exceed last year’s performance.
