Dec 17 - 30, 2001
EU duty removal to fetch extra $140 million
Textile exporters will add 150 million euro (about
$140m) to the national exchequer from January next year as a result of
duty-free imports from Pakistan by the European Union.
Calculated on the basis of removal of 7 per cent
import tariff, the net rise in forex savings will be 150 million euro
on the total annual export of 2.3 billion euro to the EU member
states, textile sources said.
The free access of exportable products, notably
textiles, to EU was followed by a positive role played by Pakistan as
a front-line state in US-coalition war on terrorism.
"The scrapping of duties will make exports to
EU more competitive," spinners said adding "it will give
needed push to export in the post-Sept 11 trade losses."
The local exporters are eagerly awaiting for the EU
decision on the proposed 15 per cent increase in the textile import
quota which will turn the local industry into a hub of activity.
According to the latest export figures, exports
registered 6 per cent decline to $710 million in November 2001,
against last year's exports of $754 million.
The textile exports in November 2001, also
registered a steep fall of 7.49 per cent at $420 million compared to
last year's export of $454 million in the same period.
The textile sector, which had been eagerly looking
forward to lifting of quota restrictions and tariff reduction by the
US, is presently under a tremendous pressure owing to detention of
textile goods worth millions of dollars by the US Customs.
The stiff resistance given by the US textile
manufacturers against lifting of quotas and reduction in tariff on
imports from Pakistan has dampened the hopes of getting any extra
benefit from the US government, the chairman Pakistan Hosiery
Manufacturers Association, Mohammad Kamran Chandna said.
POL products export up by 46.30pc
Exports of petroleum products during the five
months of current fiscal year have shown an increase of 46.30 per cent
to $85.79 million over the same period last year.
According to trade data compiled by Federal Bureau
of Statistics on Thursday, the export of petroleum and petroleum
products were estimated at $66.626 million during the corresponding
period last year.
The quantity of petroleum exports stood at 453,999
tons during July-November 2001, while it was 278,785 tons. The average
price of petroleum products has declined from $237.68 to $188.96 per
The export during November 2001 has jumped by
149.93 per cent to $14.121 million over October 2001, but declined by
35.70 per cent to $21.254 million compared to November 2000.
The quantity was estimated at 90,465 tons during
November 2001 while it was 35,311 tons in October 2001 and 97,739 tons
in November 2000.
51.49pc rise in textile machinery import
The import of textile machinery, construction and
mining equipments with metal groups continues to show rising trend in
the last five months, indicating some business activity in these
fields when virtually an all round sluggish investment environment
Overall, the import of machine group during
July-November this year is down by a small margin of four per cent as
over imports in last fiscal, indicating an industrial stagnation. In
figures, the import of machine group in last five months claimed $794
million as against $830 million in same period of 2000-2001. But the
import of textile machinery continues to show rising trend. It was
worth $197.44 million in July-November 2001 period, which is 51.49 per
cent higher than $130.33 million worth of import in the same period of
Bidder rejects TCP offer
The highest bidder in cotton export tender has
rejected the TCP's counter offer for raising the bid price by two
cents per pound, official sources said on Thursday.
The TCP received the highest bid from Sincot of
Singapore at 36.66 cents per pound for the export of 5,000 bales of
cotton grade box-III staple length 1-1/16" of 2001-2002 crop.
Pakistan may sign trade pact with BD
Pakistan is likely to sign a comprehensive trade
agreement with Bangladesh to enhance trade relations between the two
countries, a highly-informed source told.
The agreement will be discussed by President
General Pervez Musharraf with Bangladeshi Prime Minister Khalida Zia
during his brief stay in Dhaka while on his way to home from China on
The president will greet Ms Zia for becoming prime
minister for the second term and ask her for furthering trade
relations between the two countries. "This will be a goodwill
visit by President Musharraf to greet the BD prime minister, however,
trade related issues are likely to dominate the short hours meeting
between the two leaders," the source said.
The two leaders will also discuss the possibility
of reducing import duties on trade items by the two countries.
However, the source said that it had not yet been decided to what
extent the duties could be slashed.
Zero-rated export to Kabul, CARs
The government is considering allowing zero-rated
export of more items via land route to Afghanistan to help the US-led
coalition in reconstruction of the war-ravaged country.
The items would also be exported at zero rate of
duty to the Central Asian Republics (CARs), a reliable source in the
Commerce Ministry told.