TRADE

 

Oct 21 - 27 , 2002

 

1.INTERNATIONAL

2. INDUSTRY

3. FINANCE

4. POLICY

5. TRADE

6. GULF

 

LEATHER GARMENTS EXPORTS DOWN BY 29PC

Export of leather garments registered a steep decline of around 29 per cent during the 12 months period from October 2001 to September 2002 as compared to the corresponding 12 months period of last year.

 

The decline in September 2002 was around 53 per cent as compared to September 2001. And decline in exports during July-Sept this year was nearly 43 per cent compared to July-Sept of 2001.

Fawad Ijaz Khan, chairman, Pakistan Leather Garments Manufacturers & Exporters Association (PLGMEA) in statement issued on Wednesday, said that the association had been predicting this decline in exports since November 2001 and brought it to the notice of the authorities concerned for taking precautionary measures to check the downfall.

However, the callous and indifferent attitude of the authorities has resulted in decline in exports of leather garments and as a result massive shutdown in the industry has rendered around 20,000 workers jobless.

He warned that if the government does not pay heed to the suggestions of the industry for arresting the declining trend, another 10,000 workers will inevitably lose their jobs in the next two months. Most of the leather garments exporters are facing liquidity crisis and don't have enough funds to pay salaries of workers and mark-up on bank loans.

Fawad assured that there is still a considerable demand for leather garments in the international markets but they can only capture those markets if their prices are competitive and lower than their main competitors like China.

The PLGMEA chief requested the ministry of commerce and finance to hold urgent meetings with the representatives of the leather garments.

DUTIABLE IMPORTS UP BY 9.69PC

The value of dutiable imports went up by 9.69 per cent to Rs103.758 billion during the first quarter (July- September) of the current financial year against Rs94.586 billion during the corresponding period of last year.

Official figures released by Central Board of Revenue (CBR), on Tuesday showed that the value of total imports increased by 7.783 per cent to Rs172.481 billion during the July-Sept period of 2002-03 against Rs160.026 billion during the same period last year.

On the other hand, the value of duty free imports stood at Rs68.723bn during the same period this year against Rs65.44bn during the same period last year, showing an increase of 5 per cent.

The total revenue from the dutiable imports during the first quarter stood at Rs13.353 billion this year against Rs10.832 billion during the same period last year, showing an increase of 23pc.

1M TONS WHEAT EXPORT LIKELY

Pakistan is expecting to export around one million tons of wheat during the current fiscal, but the commodity procured by Passco would be restricted for local consumption only.

Commerce Minister Abdul Razak Dawood told a news conference on Monday that "there would be no more export (of wheat) from Passco. This is for local consumption only." He said that around 500,000 tons wheat would be exported by December 31. Of this, commitments had already been secured for export of 150,000 tons.

The governments of Punjab and Sindh would be flouting tenders for the export of 100,000 tons and 50,000 tons, respectively, within next few days, he said. The Trading Corporation of Pakistan would offer its first tender for wheat export in November this year, he added.

FTA WITH S. LANKA

The Commerce Minister Abdul Razak Dawood said on Thursday that Pakistan would sign the Free Trade Agreement (FTA) with Sri Lanka on October 24, and it would become effective within 30 days of the signing.

USED MACHINERY IMPORT ALLOWED

The federal government decided to allow import of second-hand machinery aimed at boosting industrialization and job creation.

A high-level meeting with Minister for Finance Shaukat Aziz in the chair decided that an initial depreciation will be allowed on the import of used machinery from the United States, Europe and Japan. "This was an old demand of the importers and today we decided to accept their demand to allow import of second hand machinery," said the minister for finance.

SBP EASES RULES FOR EXPORT FINANCING

Are you an exporter of hosiery and knitwear or rice or hand-knotted carpets? If you are...then you can get concessional export financing during this fiscal year equivalent to two thirds of your exports in last fiscal.

Earlier exporters of hosiery/knitwear; rice and hand-knotted carpets were to get during this fiscal year a concessional export financing equal to 50 per cent of their exports in the last fiscal.

IRAQ KEEN TO BUY 0.5M TONS MORE WHEAT

Iraq has shown keen interest in importing another 500,000 tons of upgraded wheat of 'hard winter' quality from Pakistan, official sources said.

Iraq's intention to buy half a million tons from Pakistan follows successful completion of earlier contract of one million tons.

A cargo vessel recently offloaded around 30,000 tons of wheat at the Iraqi port, replacing the earlier one, has successfully brought to an end the earlier contract of 0.1 million tons won by Pakistan under UN programme of 'oil-for-food' for Baghdad.

GITEX DUBAI

Pakistan Software Export Board (PSEB) will take 18 top notch software companies to participate in the world's third largest IT exhibition , GITEX Dubai, to be held from October 13-17.

Pakistan's participation in GITEX, will benefit local software industry to attend an international IT expo and display their expertise, products and services.