PHMA concerned at rising production costs, energy prices, higher taxation

FAISALABAD: The increasing cost of production, heavy taxation, and expensive energy prices and severe liquidity crunch have badly affected the competitiveness of Pakistan’s textile exports in the international market. If immediate and effective measures are not taken, there is a serious risk of further decline in exports, industrial activities, and employment opportunities. These views were expressed by Ahmad Afzal Awan, S. Vice Chairman of the Pakistan Hosiery Manufacturers & Exporters Association (PHMA), while addressing a joint press conference held at PHMA House. The press conference was attended by Farooq Yousaf Sheikh, President Faisalabad Chamber of Commerce & Industry (FCCI), Arif Ahsan Malik, former Chairman APBUMA, Waheed Khaliq Ramay, Chairman Power Looms Owners Association, Naveed Gulzar, Chairman APTMA, Chaudhry Muhammad Nawaz Cotton Power Looms Association, Chaudhry Salamat Ali, Mian Kashif Zia, Javed Aslam, Shaheen Tabassum and other prominent industrialists. Ahmad Afzal Awan presented the key and unavoidable demands of the textile sector regarding the Federal Budget 2026-27. He stated that the industrial electricity tariff should be brought at par with regional competitor countries and fixed at 9.0 cents per unit, while Peak Hour Charges should be completely abolished. He further demanded that gas prices should be reduced to USD6 per MMBTU so that Pakistani industry could effectively compete with regional rival countries. He said that expensive energy has become the biggest hurdle to industrial growth and export expansion. Farooq Yousaf Sheikh, President FCCI, stated that all proposals and recommendations from Faisalabad’s industries had already been submitted in writing to the Ministry of Commerce and the Ministry of Finance. He said that the purpose of the press conference was to remind the government of the importance of these demands and ensure their inclusion in the upcoming budget so that exports and industrial activities could be promoted. Copyright Business Recorder, 2026

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