Textile exports increase to $1.204 billion in May

[Devil Soul]

Textile exports increase to $1.204 billion in May

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KARACHI: Textile exports clocked in at $1.204 billion for May, up 28.4 percent year-on-year and 4.8 percent month-on-month, official data showed on Wednesday.

Pakistan Bureau of Statistics (PBS) data showed that textile exports amounted to $938 million in May last year and $1.148 billion in April.

Analysts attributed a nominal sequential surge in exports to the part release of exporters’ stuck refunds. The last government disbursed refunds worth Rs31.5 billion in the last week of May.

PBS data showed that textile exports rose 9.82 percent to $12.336 billion in the first 11 months of the current fiscal year of 2017/18. Textile exports amounted to $11.23 billion in the same period a year earlier.

In May, total exports stood at $2.144 billion, up staggering 32.4 percent year-on-year, but they were marginally up 0.52 percent month-on-month. The country’s total exports rose 15.3 percent to $21.345 billion in the July-May period.

Muffasar Malik, president of Karachi Chamber of Commerce and Industry (KCCI) said exports had sharply descended to several destinations around the world in the past because of rising cost of doing business. “It must be kept in mind that rising dollar would lead to costlier imports and the exporters will also bear the brunt due to rise in cost of imported raw materials,” Malik said. “Any further devaluation would increase their cost and make Pakistani exporters less competitive, plunging the economy into further deep crisis.”

Rupee lost around 14 percent since December last year as the government let the rupee depreciate against the US dollar.

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) said textile sector’s share in the country’s total exports remained stagnant at 60 percent for long.

“The area of concern is that Pakistan’s competitors have set targets for textile exports, while Pakistan remains far behind them,” FPCCI said in a report. “Pakistan’s total exports declined to $20 billion from $25 billion.”

An exporter said the country is only getting spillover orders and that too would stop coming once the competitors increase their capacity. “The government should come with a concrete and sustainable policy to facilitate exporters,” the exporter added.

In May, cotton yarn exports increased 41.3 percent year-on-year to $130.13 million; knitwear exports rose 39.2 percent to $258.86 million; bed wear exports surged 27.9 percent to $199.97 million; readymade garments exports climbed 23.99 percent to $223.37 million while cotton cloth fetched $199.6 million in May, up 22.08 percent over the same month a year earlier.

PBS data showed that imports increased 14.2 percent to $55.232 billion during the first 11 months. In May, total imports amounted to $5.814 billion, up 14.8 percent year-on-year and 13.8 percent month-on-month.

Oil and machinery continued to be the big-ticket import items during the July-May period. Oil imports surged 30.4 percent to $12.928 billion. Machinery imports, however, marginally fell 2.2 percent to $10.632 billion. Imports of agriculture products and other chemicals amounted to $8.137 billion, up 17.5 percent. Food imports inched up 1.1 percent to $5.715 billion. Metal group’s import surged 22.1 percent to $4.917 billion. Transport group’s imports stood at $3.821 billion, up 27.9 percent, while textile imports amounted $3.291 billion, depicting an increase of 6.4 percent in the July-May period.
https://www.thenews.com.pk/print/331574-textile-exports-increase-to-1-204-billion-in-may

 

[Chakar The Great]

Still a long way to go.

 

[HariPrasad]

Well done.

Still a long way to go.

What is your Goal?

 

[Chakar The Great]

Well done.

What is your Goal?

Double of what they are producing. Most of the textile industry was lost due to energy crisis between 2005-2015 , along with poor security situuation in the whole country esp Karachi , than ranked 6th most dangerous country in the world.

Pakistan is the fourth largest cotton producer in the world, after China, India, and US. What is holding them back? I think its shameful for a country like Pakistan to have textile exports of only $ 10-12 Billion. Bangladesh export targets for 2018 is $ 30 Billion. Just goes to show where Pakistan stands.

 

[bête noire]

Double of what they are producing. Most of the textile industry was lost due to energy crisis between 2005-2015 , along with poor security situuation in the whole country esp Karachi , than ranked 6th most dangerous country in the world.

Pakistan is the fourth largest cotton producer in the world, after China, India, and US. What is holding them back? I think its shameful for a country like Pakistan to have textile exports of only $ 10-12 Billion. Bangladesh export targets for 2018 is $ 30 Billion. Just goes to show where Pakistan stands.

Bangladesh imports all the cottons as BD doesn't produce any. However you are not counting one of the most important factors, and that is female labor participation. BD also had major energy crisis because between 2001 and 2008, not a single MW was added to the energy production. We only recovered few years back and now in a energy drive. We are doing good in this export sector because it is dominant by female labor who accepts low pay for these jobs.

We even have to pay 15% (highest of any country) tariff for export to US as we do not have any GSP facility there. Our currency is also strong. Pakistan produces it's own cotton and is closer to Europe than we are. Still Pakistan lacks in these sector when PK have GSP facility with the US, is cotton producer, weaker currency, much better on doing business index, better infrastructure and so many other advantages.

Focusing on female participation in the workforce should be the key.

 

[ziaulislam]

Bangladesh imports all the cottons as BD doesn't produce any. However you are not counting one of the most important factors, and that is female labor participation. BD also had major energy crisis because between 2001 and 2008, not a single MW was added to the energy production. We only recovered few years back and now in a energy drive. We are doing good in this export sector because it is dominant by female labor who accepts low pay for these jobs.

We even have to pay 15% (highest of any country) tariff for export to US as we do not have any GSP facility there. Our currency is also strong. Pakistan produces it's own cotton and is closer to Europe than we are. Still Pakistan lacks in these sector when PK have GSP facility with the US, is cotton producer, weaker currency, much better on doing business index, better infrastructure and so many other advantages.

Focusing on female participation in the workforce should be the key.

Labour is very cheap...poor bengali suffr

 

[Chakar The Great]

Bangladesh imports all the cottons as BD doesn't produce any. However you are not counting one of the most important factors, and that is female labor participation. BD also had major energy crisis because between 2001 and 2008, not a single MW was added to the energy production. We only recovered few years back and now in a energy drive. We are doing good in this export sector because it is dominant by female labor who accepts low pay for these jobs.

We even have to pay 15% (highest of any country) tariff for export to US as we do not have any GSP facility there. Our currency is also strong. Pakistan produces it's own cotton and is closer to Europe than we are. Still Pakistan lacks in these sector when PK have GSP facility with the US, is cotton producer, weaker currency, much better on doing business index, better infrastructure and so many other advantages.

Focusing on female participation in the workforce should be the key.

Thats not the only reason, its stupid assumption really. Do you think Pakistan is finding it hard to find man power for work??

 

[bête noire]

Labour is very cheap...poor bengali suffr

True. It's been 5 years since the last minimum wage. It should be increased to at lease double.

Thats not the only reason, its stupid assumption really. Do you think Pakistan is finding it hard to find man power for work??

Why is labor so expensive in Pakistan even after so much currency depreciation?

Your GNI per capita is lower than BD. Average Pakistanis have higher purchasing power than Bangladeshis with the same dollar as Pakistan can by more for the same money. Yet you have much higher labor expense for minimum wage workers? How so? Shouldn't it be lower given your average income is lower than Bangladeshis, purchasing power is higher and lot of currency depreciation? Why does a labor cost so much in Pakistan?

 

[Chakar The Great]

True. It's been 5 years since the last minimum wage. It should be increased to at lease double.

Why is labor so expensive in Pakistan even after so much currency depreciation?

Your GNI per capita is lower than BD. Average Pakistanis have higher purchasing power than Bangladeshis with the same dollar as Pakistan can by more for the same money. Yet you have much higher labor expense for minimum wage workers? How so? Shouldn't it be lower given your average income is lower than Bangladeshis, purchasing power is higher and lot of currency depreciation? Why does a labor cost so much in Pakistan?

You dont understand simple maths, average Pakistani house hold income is much more than Bangladeshi. Labour is expensive because people are wealthier as compare to BD and they have more opportunity, also since they enjoy better quality of life they have more expenditures.

Pakistan's economy ( informal) and GDP is massively under rated. This post is not about Bangladesh, dont try to bring BD into every Pakistani post. If you are doing well, good for you. People in Pakistan dont care.

 

[bête noire]

You dont understand simple maths, average Pakistani house hold income is much more than Bangladeshi. Labour is expensive because people are wealthier as compare to BD and they have more opportunity, also since they enjoy better quality of life they have more expenditures.

Pakistan's economy ( informal) and GDP is massively under rated. This post is not about Bangladesh, dont try to bring BD into every Pakistani post. If you are doing well, good for you. People in Pakistan dont care.

In dollar value, Pakistanis have lower income per capita than BD. Textile isn't part of informal economy and it's plain ignorant to think informal economy only exists in Pakistan. You are right about better quality of life and having more wealth but that's for different reason. In Pakistan a dollar can buy much more than in Bangladesh. That's why even thought Bangladeshi income in dollar is more, Bangladeshi can have purchasing power much less than Pakistanis and Pakistanis can buy more more things and afford many more with less dollars.

Which is my question to begin with. I am not talking about paying Pakistanis in rupiah but after exchange rate of USD because textile is sold in other countries where you earn in dollars. Why then the Pakistanis have more labor expense? Even if Pakistanis were paid same in dollars as Bangladeshis, Pakistanis would still be able to afford much more than Bdeshi with the same money, how come Pakistan still have more labor cost in dollars?

And stop with me bringing BD into Pakistani post. I have maybe posted 3 time in my entire time in PDF and the last time maybe has been months. I brought into this because BD is very relevant here with textiles. I am not trying degrade PK here.

 

[NOWorNEVER]

Our textile industry will jump high once Economics Zones have been established and new technology for textile will be transferred to Pakistan (from China). It has already been started through joint venture though... but still long way to go to catch up our glory...
The future of Pakistan is bright....

 

[On the Edge]

I think Pak doesn't produce high quality fine cotton, BD is also enjoying special tariffs I think,

I have never been to BD but the wealth I see in Pak I can be sure that BD is not even near Pak, we are booming despite all the issues we faced in past of terrorism sanctions energy crisis, if we get a good leadership and a danda implementation then no one in our neighbourhood is catching up, I am really amazed to see the retail boom in recent years in Pak, even the not too wealthy ppl seem to be in markets spending

 

[AZADPAKISTAN2009]

The Industrial Sector is sure to get a Massive Boost after availability to Surplus energy



Across history the Silk clothes were known to be sign of Elite people , Rich people
because the poor never had money to buy these crafted clothes

Across Arabia , Egypt , Syria , Iraq and Iran , people always enjoyed colorful clothes as a sign of wealth


Pakistani Textile has a hidden potential to expand in the old routes with some modern concepts

Alot of Creativity in Pakistani Clothese industry

 

[Nilgiri]

You dont understand simple maths, average Pakistani house hold income is much more than Bangladeshi. Labour is expensive because people are wealthier as compare to BD and they have more opportunity, also since they enjoy better quality of life they have more expenditures.

Pakistan's economy ( informal) and GDP is massively under rated. This post is not about Bangladesh, dont try to bring BD into every Pakistani post. If you are doing well, good for you. People in Pakistan dont care.

Buddy, whenever one of these BD pissants pokes its nose into the whole GDP per capita business...just point them to this post and tag me if needed:

https://defence.pk/pdf/threads/bang...owth-in-new-fiscal-year.562317/#post-10546801

They honestly think dumping inflation is an indication of increasing GDP per capita. I guess inflated ego attracts inflation

Some of them are catching onto the issue:

https://opinion.bdnews24.com/2017/12/18/where-did-the-benefits-of-economic-growth-disappear/

https://thefinancialexpress.com.bd/...conomic-growth-disappear-who-saves-1512487266

There is some disquiet among economists about the quality of data provided by Bangladesh Bureau of Statistics (BBS). No less a person than the Economic Adviser to the Prime Minister has expressed his dissatisfaction about the qualifications of the BBS staff and the quality of their work. These are very long standing problems, and yet, very little has been done to improve the quality of the services provided by BBS.

The government is perhaps more worried about the embarrassment an efficient BBS can do to its image with correct data than the harm an inefficient BBS can inflict on policy making and, the economy with incorrect data.

.....but they are drowned out by the BD-STRONK types.

@django @Desert Fox @Major Sam @Aung Zaya @ziaulislam

 

[Chakar The Great]

Buddy, whenever one of these BD pissants pokes its nose into the whole GDP per capita business...just point them to this post and tag me if needed:

https://defence.pk/pdf/threads/bang...owth-in-new-fiscal-year.562317/#post-10546801

They honestly think dumping inflation is an indication of increasing GDP per capita. I guess inflated ego attracts inflation

Some of them are catching onto the issue:

https://opinion.bdnews24.com/2017/12/18/where-did-the-benefits-of-economic-growth-disappear/

https://thefinancialexpress.com.bd/...conomic-growth-disappear-who-saves-1512487266

There is some disquiet among economists about the quality of data provided by Bangladesh Bureau of Statistics (BBS). No less a person than the Economic Adviser to the Prime Minister has expressed his dissatisfaction about the qualifications of the BBS staff and the quality of their work. These are very long standing problems, and yet, very little has been done to improve the quality of the services provided by BBS.

The government is perhaps more worried about the embarrassment an efficient BBS can do to its image with correct data than the harm an inefficient BBS can inflict on policy making and, the economy with incorrect data.

.....but they are drowned out by the BD-STRONK types.

@django @Desert Fox @Major Sam @Aung Zaya @ziaulislam

I have followed your posts in the past as well, they are really helpful in the context of BD economy. I look forward to reading more of your analysis on the subject.