ISLAMABAD: The All Pakistan Textile Mills Association (Aptma) has issued an urgent call for Prime Minister Shehbaz Sharif’s intervention to clear highways and restore cargo movement for import and export consignments, suspended since April 19, 2025.
In a press conference, Aptma Chairman Kamran Arshad stressed the gravity of the situation, revealing that more than 25,000 export containers remain stranded across Sindh, unable to reach ports due to widespread cargo disruptions. In addition, around 50,000 containers carrying imported goods, raw materials, and other essential supplies are stuck due to extensive road blockages in the province.
Arshad warned that even if routes were reopened immediately, clearing the current backlog could take up to 25 days — delaying critical exports and manufacturing inputs. “This is nothing short of a national crisis and demands urgent action,” he asserted.
He emphasized that the disrupted supply chain is wreaking havoc on industrial operations, threatening export commitments, slashing production, and potentially causing economic losses running into hundreds of millions of dollars.
“This crisis is severely damaging Pakistan’s credibility in international markets and poses a major threat to the economy,” Arshad said, appealing to Prime Minister Shehbaz Sharif, Sindh Chief Minister Murad Ali Shah, and PPP Chairman Bilawal Bhutto Zardari for immediate personal intervention.
Arshad also highlighted structural issues with the Export Facilitation Scheme (EFS), noting a damaging imbalance: while imports continue to receive duty- and tax-free treatment, sales tax exemptions on local supplies have been withdrawn. This, he said, has critically undermined the domestic textile industry.
“The spinning industry and cotton farming are especially hard-hit,” he explained, disclosing that around 120 spinning mills—responsible for 20–25% of total yarn production—along with more than 800 ginning factories, have already shut down. Many of the remaining mills are operating at just 50% capacity and face imminent closure.
“If this continues, local cotton will find no buyers, rendering cotton farmers destitute and causing massive job losses,” he warned.
Arshad further cautioned that the policy disparity is forcing exporters to rely on imported raw materials, thereby weakening domestic industries and straining rural economies. The consequences, he said, extend beyond the textile sector and threaten the livelihoods of millions.
APTMA called on the government to restore the EFS to its June 30, 2024 status by reinstating zero-rating/sales tax exemptions on local supplies. Alternatively, the association suggested imposing equal taxation on imports to create a level playing field. Arshad also urged the exclusion of yarn and cloth imports under the EFS to protect local producers.
Speaking at the press conference, Aptma Chairman-North Asad Shafi added that numerous export orders have been cancelled due to the logistical paralysis in Sindh. He warned that international buyers are turning to alternative suppliers, risking long-term loss of business.
“If this situation persists, Pakistan faces the real danger of deindustrialization and a significant decline in export revenues,” Shafi stated, calling for urgent remedial measures.
Leading exporters—including Ahmad Shafi, Anjum Zafar, Ali Ahsan, and Ahsan Shahid—echoed these concerns. They warned that the suspension of cargo movement has already inflicted severe damage on export operations and could result in irreversible economic loss if not addressed immediately.
Copyright Business Recorder, 2025
