KARACHI: Patron of SITE Association of Industry, Zubair Motiwala has appealed the Prime Minister of Pakistan Imran Khan to save the exporting industries in general and textile sector in particular from total collapse amid corona pandemic and subsequent severe economic crisis.
In a press statement, Zubair Motiwala demanded Prime Minister Imran Khan to cut the Gas tariff in view of international oil prices which are at lowest level now. This move will greatly help exporting industries in reducing production cost.
He said that amid corona pandemic, industries remained closed for about two months which are now being re-opened gradually under strict SOPs follow up. However, as the pandemic hit worldwide, USA and European countries closed their borders for trade which badly effected exports from Pakistan as the foreign buyers refused to take delivery of ready shipments. In addition, large number of export orders have been cancelled which also affected our exports.
“Under the current scenario, the exporters are facing severe liquidity crunch as their money has stuck up in ready shipments whose deliveries have been refused by foreign buyers. As such, there is need to support exporting industries in the wake of current economic condition.”, he pointed out.
Patron of SITE Association further said that OGRA calculated gas price at the rate of 60.7 dollars per barrel of Brent crude which has now lowered to 25 dollars and a cut of nearly 40 % in gas prices is possible now. In addition, RLNG price has reduced below 2 dollars. Other countries have already passed on benefits of these reductions to their industries which Pakistan must follow.
Zubair Motiwala appealed the Prime Minister of Pakistan Imran Khan to consider lowering of gas tariff & RLNG rates so that the cost of production of exporting industries is reduced and exports get a boost.