22 - 28, 2001
Mill cotton consumption to reach 10.5m bales
Mill cotton consumption is set to reach an all-time annual
record of about 10.5 million bales during the current year, which ended in
According to official figures (Sept 2000-June 2001) released
by the Textile Commissioner, the organized sector comprising 400 odd units have
already consumed over 8 million bales during the last 10 months of the year and
the remaining two months' intake could touch the high mark of 2 million bales.
The unorganized sector, on an overage, consumes between 0.5
to 0.8 million bales each year, that may push the total consumption figure to
10.5 million bales, a new record for the textile industry.
Spinners claim that higher mill intake could mean higher
exports and more foreign exchange earnings during this period, but apprehend
that the same will tapper off in coming months when export orders, which are in
the pipeline, will exhaust.
"Apart from revival of more than a 100 sick textile
units, the larger consumption will be largely due to expansion undertaken by the
textile sector," a leading spinner said. However, the textile industry is
presently facing difficulty in selling its yarn even at a break even price. But
due to normal quantum of export orders, raw cotton consumption for next two
months would stay on the higher side, exporters said.
"I would say the real impact on textile export would
start emerging early next year when the industry will not have any orders in
hand to process," chairman Pakistan Hosiery Manufacturers Association (PHMA)
Mohammad Kamran Chandna told.
The chairman APTMA, Sindh-Balochistan Zone, Mushtaq Ahmed
Vohra told that after Sept 11 attacks on New York and Washington, the demand for
yarn in the domestic as well as world market dropped sharply.
Export-oriented units to get SBFC priority
Export-oriented small and medium industries have received top
priority from Small Business Finance Corporation (SBFC) for lending especially
in non-conventional sectors.
There is no dearth of funds with the corporation, but only
genuine borrowers are being entertained to ensure viability of the projects
along with recovery of loans, SBFC sources said on Tuesday.
Several applications worth Rs500 million were in the pipeline
and around Rs100 million would be disbursed by the end of current financial
year, sources added.
Applications, being processed for loans, pertain to different
projects including information technology, engineering, garments, CNG stations,
CNG kits, agro-based projects, dairy farms, fast food etc.
Hotel industry in crisis
In the aftermath of terrorist attacks on United States on
September 11 and resultantly retaliatory strikes on Afghanistan, hotel industry
in the Pakistan is "badly hit by the crisis" and has lost around 80
per cent business in past five weeks.
Following air strikes on Afghanistan on October 7, a large
number of foreigners left Pakistan. Besides, a number of foreign airlines
operations for the country were halted which dragged the industry into severe
financial crisis making it difficult to run their business.
Presently more than 80 per cent rooms of Karachi's five star
hotels are vacant. Some hotel owners were planning to lay off employees in order
to reduce financial burden.
Strike impact on industries
The Monday's strike by Pak-Afghan Defence Council partially
affected the industrial output in three main industrial areas but industries in
SITE did not feel much impact because of the arrangements made a day earlier.
Industrialists in Korangi, North Karachi and F.B. Area said
that only 30-40 per cent of production activities were affected on Monday as the
situation was not as tense as on Friday's strike, which curtailed the
manufacturing output by 50 per cent. Some industries observed Monday as weekly
holiday and Sunday as the working day, to offset the impact of the strike.
Pakistan, Brunei to expand cooperation
Pakistan and Brunei Darussalam on Monday agreed to foster the
existing volume of interactions in the oil and gas sector, activating the
already established Joint Ministerial Commission (JMC) for mutual benefit of the
two brotherly Muslim countries.
According to a press release this was agreed in a meeting
between high commissioner of Brunei Darussalam Brig Gen (Retd) Dato Paduka Haji
Ibrahim bin Haji Mohammad and minister for Petroleum and Natural Resources Usman
Aminuddin when he paid a courtesy call on him.
During the meeting they discussed possibilities of expanding
Pak-Brunei cooperation in the oil and gas sector which would bring the two
Inflation rises in July-Sept
Inflation rates based on Sensitive Price Indicator and
Consumer Price Index recorded increase by 2.14% and 2.92% respectively during
July-September in the current fiscal year over the same period of 2000-2001.
While Wholesale Price Index ascended by 5.71% during this
period over the corresponding span during last fiscal, official sources said on
Saturday. The inflation increased in 2000-2001 by 4.23%, 4.82% and 4.01%
respectively over the corresponding period of 1999-2000 and in 1999-2000, the
rate of inflation increased by 3.13%, 3.31% and 2.89% respectively over the same
period of 1998-1999.
The inflation rates based on SPI, CPI and WPI for September,
2001 increased by 2.33%, 2.87per cent, and 4.63% respectively over September,