11 - 17, 2000
arrival falls by 16.73pc
More than 188,761 bales of cotton have arrived at
ginning factories till Sept 1, showing a decline of 16.73 per cent or
37,932 bales over same period last year.
According to the fortnightly report of Pakistan
Cotton Ginners Association (PCGA) on Wednesday, the decline was mainly
from Sindh where cotton crop faced water shortage.
A leading ginner said the arrival of cotton is late
due to slow picking by growers. He said in lower Sindh, crop was
affected due to water shortage and added that arrival will get
momentum from upper part of the province.
The arrival of cotton at ginning factories in Sindh
has shown a decrease of 25,993 bales mainly in lower Sindh areas of
Tharparkar, Sanghar and Hyderabad.
In Punjab, the arrival was short by 11,939 bales
during the same period under review.
The total arrival of cotton in Sindh was estimated
at 133,792 bales against last year's 159,785 bales.
In Punjab, the total arrival stood at 54,696 bales
till September 1, 2000 against 66,908 bales during previous year. The
total arrival at ginneries all over Pakistan was 226,693 bales on
September 1, 1999.
Meanwhile, the Export Promotion Bureau has issued
procedure for registration of export contract for raw cotton by
According to the new procedure, the exporter shall
be entitled under this registration procedure to register the export
contracts of cotton on the basis of type or grade. However, in cases
where the export sale is type-based, the exporter would mention the
equivalent Grades on the Registration Certificate, issued by EPB, and
all other export documents at the stage of shipment so that the
foreign buyers become familiar with our Grades. This registration
procedure shall apply to registration of export contracts of raw
cotton of private sector with EPB for both new crop and the fresh
contracts of old.
Dispute over cane crushing date
The Sindh government has asked sugar millers to
start crushing from October 1, but millers say that they should be
allowed to commence crushing from November 15.
Members of Pakistan Sugar Mills Association (PSMA),
informed the Sindh Industries Minister Dewan Muhammad Yousuf Farooqui
in a meeting on Friday that they intend to start crushing from
November 15 as there would be no more shortage of sugar till November,
due to its imports by the government and the private sector.
However, growers and officials of Agriculture
Department insisted the millers to start crushing from October 1 as
harvesting of wheat crop will also start by that time.
Negative growth in large scale manufacturing sector
Large scale manufacturing in Pakistan fell by one
per cent in fiscal (July/June) 1999-2000 as sugar production went down
to 2.43 million tonnes from 3.54 million tonnes in 1998 -99. But if
sugar is excluded from the basket of key industrial items large
manufacturing sector can boast of 6.4 per cent growth in fiscal
Sources in ministry of production and industries
say sugar has a weight of more than eight per cent in the basket of 96
items in the said basket.
That explains why large scale manufacturing
recorded negative growth in 1999-00 despite a bumper cotton crop that
raised cotton yarn production to 1.67 million tonnes from 1.54 million
tonnes in 1998-99.
The sources say production figures of 25 out of
total 96 items in the basket of large scale manufacturing show a mixed
trend of growth and decline.
They say that production of seventeen items went up
and that of eight went down.
Pakistan Shipbreakers Association has urge the
government to bring import tariffs on old ships at par with the
neighbouring countries to revitalize and end the prevailing recession
in the industry. Highlighting the problems faced by shipbreakers at
the Gadani beach, a press release claims that the duty structure in
India and Bangladesh is between five to 10%, while the local
shipbreakers have to pay 40% inclusive of the income tax on the import
of old ships for breaking.
Tax holiday package for IT
The federal government has prepared a seven year
tax holiday package for the information technology sector. Under the
package, the IT companies would be allowed to enlist on the stock
The Securities and Exchange Commission of Pakistan
would change rules to facilitate enlistment of such companies, sources
said on Thursday.
The Central Board of Revenue has already agreed to
provide a seven year income tax holiday to the venture capital fund in
order to boost the investment in the information technology sector.
Industries seek protection
Different local industries, failing to compete with
the cheap finished goods or secondaries urged the National Tariff
Commission (NTC) to enforce anti-dumping laws to check the flooding of
local markets with cheap finished goods or secondaries to give a
breathing space to local industry facing serious threat of closures.
According to NTC sources, different industries have
approached it for imposition of higher duties on the import of such
items which are being manufactured in the country so that the local
industry could retain its market share in the domestic market.
Gas sale accord signed
An agreement for the sale of gas was signed between
the Sui Southern Gas Co (SSGCL) and Pakistan Petroleum Ltd (PPL) On
The accord was executed by the President of Islamic
Republic of Pakistan, SSGCL and the Working Interest Owners of
Block-22 (PPL), Petroleum Exploration Ltd (PEL), Pyramid Energy Inc.
Canada and the Government Holdings .
Under the accord, the Owners of Block 22 will
supply 20MMSCFD gas to SSGCL. Block 22 is located in districts of
Shikarpur, Jacobabad and Sukkur (Sindh) and district Nasirabad (Balochistan).