July 09 -
$339m textile machinery imported
Textile machinery worth $339.11 million had been
imported during July-May 2000-01, as against $177.65 million during
the same period last year, official sources said on Monday.
However, on an average the industry needs around
$1.5 billion annual investment for BMR and expansion for next three
years to meet challenges arising in the post-quota period from 2005.
Last two year's good cotton harvest assisted the
industry to make sizeable profits which had been invested in the
expansion and upgradation of its ageing machinery.
Industry sources said that even at this slow pace
of investment Pakistan is better placed to meet the challenges in
post-quota free market because Indian textile industry, for last three
years, was unable to get fresh investment owing to larger investment
attracted by IT industry.
An investment to a tune of $600 million had made
its way into textile industry during last two years, which, officials
believe, is quite encouraging under present sluggish economic
activity. But there is a growing concern that much of this investment
is being made by large industrial groups who constituted only 20 per
cent of the entire textile industry.
Although the government has chalked out an
extensive plan under 'Textile Vision 2005' envisaging a total
investment to a tune of $6 billion for next four years, but the
document has not elaborated or identified the source from where such a
huge investment would come.
According to Aptma sources, a very large number of
new spindles have been imported by leading groups to replace their
ageing and lower count spindles. Further, blow rooms, printing, and
processing units have also been installed by these groups.
The chairman Aptma, Abid Farooq said with rapidly
increasing capacity of working spindles and rotors, the country would
be needing around 10 million bales next season (2001-02).
Molasses fetches $33m in 7 months
A little over 0.8 million tons molasses was
exported during the last seven months, fetching around $33 million
with average price of $42 per ton, according to figures compiled by
Terminal Association of Pakistan (TAP).
Poor harvest of sugarcane for second consecutive
season resulted in lesser output of molasses at around 1.3 million
tons as against 2.2 million tons of last year.
Pakistan is a net exporter of molasses as the
produce has no utility in the country, and most of the exports go to
At present around 0.2 million tons of molasses is
lying at port for onward exports and another 0.2 to 0.3 million tons
A good quality molasses having higher sugar
contents is used for producing wide range of edible goods and
The lower quality molasses is mostly used in
preparation of animal feeds as well as chicken feeds.
Exporters resent hike in finance rate
Resenting the 2.5 per cent hike in export finance
to 13 per cent the exporters claimed that it will render exports
uncompetitive in the world market and result in large scale closures
"Higher incident of financial cost coupled
with frequent rise in POL and utility charges have made our
value-added products uncompetitive against cheaper goods from
Bangladesh and India," said Aslam Ahmed Karsaz, chairman,
Pakistan Hosiery Manufacturers Association, Sindh-Balochistan zone.
Govt to allow duty-free import of ships
The government has decided to allow duty-free
import of ships and floating crafts in order to encourage ship
business in the country.
The policy to this effect has been finalized and
would be announced soon, said Minister for Communication Lt-Gen (Retd)
Javed Ashraf Qazi, in an interview on Tuesday.
It has also been decided that there will be no
excise duty or any other tax on the import of ships, so that the
number of 'Pakistan-flag carrier vessels' could be increased.
Presently, the volume of annual trade is about 40
million tons. Of which Pakistan National Shipping has the capacity of
handling only five per cent of it. By providing new concessions to
local investors, it is hoped that the capacity would be increased by
70 per cent.
The duty-free import, the minister said, would be a
major step towards strengthening shipping industry for saving foreign
exchange and promoting business activities.
Exports cross $9bn mark: Dawood
Federal Minister for Commerce, Industries and
Production Abdul Razak Dawood has said that the exports during the
current fiscal year have crossed $9 billion mark, which is a record
Electricity meter exports increasing
The annual export of the electricity meters to
South America, Africa and some parts of Asia from Pakistan has gone up
to 30,000-40,000 units a year.
"The electricity meters export is going up
because of the quality of our products," a manufacturer and
exporter, Munir Ahmed Khan, told on Saturday. He said the price of the
meters exported to different countries depended upon the market and
ranged between $12-18 per piece or more.
Overdue export bills
The State Bank has asked all banks to submit to it
by July 25 the date relating to overdue export bills as of June 30.
Liberal import of reconditioned cars, light
commercial vehicles (LCVs), air conditioners, refrigerators and other
industrial items is expected to be the key component of the trade
policy 2001-2002 to be announced next week.
An innocuous invitation from the government
received by as many as 18 representatives of various sectors — auto
parts, domestic appliances, ship breaking, tractors, cars, LCVs, tin
plate, steel melters and re-rolling millers — for a meeting in
Islamabad on Thursday (July 5), has triggered off a chain of
speculations and rumours in the market on the government considering
to open the import of reconditioned vehicles, domestic appliances and