The Government has decided to reduce import duty on polyester staple fibre (PSF) to 3.5% from existing 6.5%, said Adil Mahmood, Chairman, All-Pakistan Textile Association (APTA). He said Prime Minister’s Advisor on Finance and Economic Affairs Dr Salman Shah has assured us that duty on imported PSF will be slashed soon after ECC’s approval.

The National Assembly Standing Committee on Textile has asked the Government to extend gas subsidy to the textile industry and allow import of medium staple cotton from India through land route to stabilise commodity price in the domestic market.

Minister for Textile Industry Mushtaq Ali Cheema said that the Bt cotton has to be imported timely otherwise spinning and other sub-sectors of textile would be badly hurt.

Prime Minister Shaukat Aziz said successful implementation of wide ranging structural reforms and good macroeconomic policies has transformed Pakistan’s economy into a stable and resurgent one. The country’s economy has attained the status of the fastest growing economies in Asia because of the Government policies and reforms.

Federal Minister for Foreign Affairs Khurshid M Kasuri has said in a meeting of the Karachi Chamber of Commerce and Industry that Pakistan will be establishing stronger trade ties with India which will be worth US$10 billion in the next four years.

All Pakistan Textile Association (APTA) has said that the shortage of polyester fibre and its increased prices were gravely affecting the spinning sector. APTA spokesman Tanveer Shaikh said many polyester-fibre producing units were at the verge of closure or producing short of their capacities.

Ministry of Food, Agriculture and Livestock (MINFAL) has estimated that mealy bug, if not controlled in time, could destroy 5 million bales of cotton this year.

The Government approved exemption of customs duties on import of machinery for installation of new industrial units in China Specific Special Economic Zones (SEZ).

The Federal Board of Revenue (FBR) has issued a list of locally manufactured goods for the purpose of concessionary notifications. The list was notified through a Customs General Order No 11. The goods, detailed in the appended list of this CGO, are manufactured locally.

An exclusive industrial estate for women entrepreneurs is being set up as the Small Scale Industrial Estate on Superhighway. The Special Women Zone spread on 30 acres will accommodate manufacturing units and will be the first such Zone in Pakistan. The Zone, which will have small and medium size cottage industries, will be equipped with electricity, gas, water, roads, hospital, mosque, community centre and a women bank.

Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) Chairman Ijaz A Khokhar has warned that the survival of the garments industry is impossible without converting it into value added units. He said association members were awaiting a notification to invest in the Northern Areas to set up export units.

Bilateral trade between Pakistan and Germany has now risen to about $2 billion per annum and is likely to grow further. At present German exports to Pakistan were valued at $1.2 billion and Pakistan’s exports to Germany $700 million annually.

Some 60 cotton-ginning factories across the country have started operations, as the arrival of phutti has restarted after the stoppage of rains in different parts of the country, said Central Chairman of Pakistan Cotton Ginners Association (PCGA) Suhail Kharal.

The Textile Industry Development Policy 2007 is expected to offer 10-year tax holiday to encourage foreign investment in textile machinery manufacturing and 10-year tax holiday for foreign investment in establishment of bonded cotton warehouses in the country.

Pakistan will try to attract global manufacturers of shuttleless textile machines through the proposed 10 year tax holiday to encourage them to set-up manufacturing units in Pakistan. The proposed initiatives of the Government would result in increase in textile exports by enhancing the production capability of the textile sector.

Mian Zahid Aslam, Chairman PTEA, pointed out that Trade Policy  2007-08 has envisaged establishment of Reconstruction Opportunity Zones (ROZs), wherein export opportunities without any tariff and trade barriers would be allowed but no progress has been made so far in this direction and the exporters are unaware of any facilities and benefits available under these ROZs.

Ministry of Industries, Production and Special Initiatives, has directed the Technology Up-gradation and Skill Development Company (TUSDEC) to re-engineer a model ginning facility for the ginning sector.

Over 1,000 Pakistani textile sector professionals and businessmen visited Munich (Germany) in mid-September to attend the world's largest textile machinery exhibition-ITMA.