Members of the All Pakistan Textile Mills Association (APTMA) decided at a meeting held yesterday that they would request President Pervez Musharraf to come to the aid of spinning mills that have been facing heavy losses due to high cost of production.
This move came after APTMA Chairman refused members' proposal to shut down the mills for a week. The meeting, which was attended by more than 60 members, pointed out how gas prices had increased by 38 percent in just two years and now stood at Rs 238 per mmbtu. This was one of the reasons why the mills were incurring massive losses.
Ten percent hike in WAPDA electricity tariff and lack of continuous supply of power were other problems that the mills faced. Add to this spiraling cost of transportation, packing materials like poly bags, paper cones and lubricants which shot up by 80 percent. A whopping 239-percent increase in financial cost was further adding to the mill owners' woes.
APTMA spokesman Tanveer Shaikh, however, said the issue of loans and advances must be discussed with the concerned banks in a peaceful manner. But it was decided in the meet that if no response was seen forthcoming, the spinners would go on strike from August 5 and hold a protest march outside the President's house.
It was the members' suggestion that Government should buy all the lint cotton in the season via Trading Corporation of Pakistan at fixed price and sell it to the spinning mills all through the year. This would assure uninterrupted availability of the raw material.
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