In May investment in textile machinery fell by 6.4 percent in terms of dollar as compared to same period last year and it will reach to 11-12 percent if inflation is on the rise, said Ahmed Kuli Khattak, Chairman, All Pakistan Textile Mills Association (APTMA).
Ahmed said that country's textile industry has invested $5 billion for capacity expansion during last five years when interest rates were low.
Credit cost has increased almost 200 percent and it has compelled industry to keep away from further investment.
For value addition in basic textile, another $6.3 billion is needed in next five years, said Ahmed Kuli.
Today world's textile trade is estimated around $300 billion and as per the views of experts western countries will shift their textile production facilities to cost effective countries.
According to Ahmed Kuli, Pakistan's share in the present trade volume is around 3 percent and if they want to maintain current share of this larger pie, textile exports alone should be targeted to reach $24 billion.
Textile Ministry has formed a commission under Federal Textile Board comprising textile industry representatives.
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