Withdrawal of the zero rated facility from October 01, 2010 will result in massive closures of the export-oriented industry, like weaving, processing, printing, hosiery and textile made up manufacturing units, cautioned the leaders of value-added textile sector.
Issues such as excessive cotton and yarn export, disregarding domestic requirements, major unemployment due to recent floods and imposition of 17 percent VAT would harm the country's fragile economy, it added.
Value-added textile industry leaders urged the government to take substantial steps to salvage the industry, which is already on the verge of extinction along with the export-oriented textile industry, due to electricity and gas load-shedding.
Pakistan's value-added textile industry plays a vital role in the national economy and is a key forex earning sector, offering livelihood to the labour force of the country.
Fibre2fashion News Desk - India
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