INDUSTRY

 

July 22 - 28, 2002

 

1.INTERNATIONAL

2. INDUSTRY

3. FINANCE

4. POLICY

5. TRADE

6. GULF

 

1.3M BALES GAP IN OUTPUT, DEMAND FEARED

The Federal Textile Board on Thursday feared a wide gap of around 1.3 million bales between production and consumption of raw cotton during next cotton season 2002-2003.

 

The first meeting of the sectoral committee on raw cotton of the board was presided over by convener of the committee Gohar Ejaz.

The committee noted with concern that the production target of 10.07 million bales as compared to the estimated mill consumption of 11.4 million bales, for the season 2002-2003, shows a deficit of 1.3 million bales.

As a result of this huge deficit, the committee felt that the country will have to foot a huge bill on import of raw cotton.

In order to avoid such a situation the committee strongly recommended that highest priority might be given to increasing production, through research and administrative measures, with aim to save valuable foreign exchange.

The committee discussed in details the cotton policy, crop estimation, month wise stock taking of production, import and export of cotton, problems of cotton growers and ginners, and assessed future quantity, cotton standards.

It has been also recommended that for improving cotton quality and to control contamination, Cotton Standardization Ordinance may be re-promulgated before the commencement of next cotton season. Similarly, it was emphasized that cotton research should be focused on the future requirements of raw cotton of the domestic textile industry in terms of quantity, quality and requirements of long staple and extra long staple cotton.

The convener of the committee Gohar Ejaz said that the government has constituted sectoral committees of Federal Textile Board so that different aspects of the textile industry could be analyzed in detail.

CONSORTIUM GRANTED LICENCE FOR EXPLORATION

The government on Wednesday granted a petroleum exploration licence to a joint venture of local and foreign companies to undertake exploration activities in Sukkur and Khairpur districts of Sindh.

The joint venture comprising OMV of Austria, Lasmo (MP) of Italy and Pakistan Petroleum Limited (PPL), a local public sector company, would hold 33.33 per cent shareholding each. It would carry out exploration activities in South-West Miano-II block No 2668-5, spread over an areas of 1240.77 square kilometres.

The three companies also separately signed petroleum concession and joint operating agreements. OMV would be the operator of the joint venture.

The joint venture is required to carry out 200 line kilometres of seismic survey and drilling of one exploration well during the first phase of initial term of three years with a minimum expenditure of $5.1 million.

COTTON DEMAND PUT AT 12M BALES FOR NEXT YEAR

The domestic cotton demand would be around 12 million bales for next year. This figure was worked out in a meeting on Tuesday, which was presided over by Abdul Razak Dawood, Federal Minister for Commerce and Trade, and attended by representatives of All Pakistan Textile Mills Associations (APTMA).

The minister assured the APTMA members that cotton growers are being provided a number of incentives to produce more cotton. The incentives included support prices and financial incentives for contamination-free cotton so that in addition to fulfilling domestic demand, a substantial quantity of qualitative lint be available for exports, he said.

TARBELA DAM TO BE FILLED BY NEXT MONTH

Tarbela Dam, the largest water reservoir of the country received 162,000 cusecs water on Tuesday and release remained higher than inflow of 200,000 cusecs.

According to Indus River System Authority (IRSA), water position will further improve by this week at Tarbela and Mangla, owing to the impact of snow melting and the expected rains of monsoon season, according to Met Office.

Official data released by IRSA, said water level at Tarbela was recorded 1447.84 ft which was about 79 ft higher than the dead level of the dam 1369 ft and at Mangla 1194.60 ft which will be filled within a week to full capacity of 1202 ft.

SPINNING SECTOR

The spinning sector of textile industry has shown an impressive growth during the fiscal 2001-02. This was observed in a meeting with All Pakistan Textile Mills Association chaired by Commerce Minister Abdul Razak Dawood.

The meeting noted that the performance of the textile industry during the last fiscal generally was in line with the growth as visualized in Textile Vision 2005.

LIVESTOCK SECTOR GETS RS415M ALLOCATION

The federal government has allocated Rs415 million to strengthen the livestock economy under a multi-dimensional package to be completed over a period of three years.

This is the largest outlay for the livestock sector that constitutes 9.4 per cent of the national gross product and 37.5 per cent of agricultural value-added. During 2000-01, its contribution to the exports earnings amounted to Rs53 billion - 12.34 per cent of total foreign exchange earning.

RECYCLING INDUSTRY

Green Earth Recycling is probably the only industry of its kind and size in the country that recycles used tetrapaks to produce chipboard as well as converts discarded shopper bags into plastic wood to take care of the increasing problem of solid waste in the urban areas and depleting forests resources of the country.

Chipboard produced by the GER is marketed as green board while plastic wood as green plastic lumber because of their having been recycled from plastic and tetrapak waste.