During a meeting of the Senate Standing Committee on Finance, it was revealed that 40% of textile mills in Pakistan have shut down in the past 11 months. Officials from the All Pakistan Textile Mills Association (Aptma) expressed concerns and grievances during the meeting.
Aptma’s delegation stated that within the last 11 months, approximately 7 million skilled workers in the textile industry have lost their jobs, and textile units in Punjab are rapidly closing down. They warned that on July 1, they would bring the keys of textile mills to Islamabad as a symbolic gesture if the government fails to reduce electricity and gas prices. They further added that if the situation does not improve, an additional 25% of textile mills will be forced to close.
According to officials, the electricity rate for textile mills has risen from Rs.20 to Rs.39.5 per unit, and it is expected to increase to Rs.49.5 per unit in the new financial year. They emphasized that the high cost of electricity and gas has led to a decline of $4 billion in textile mill exports. The textile sector is seeking a subsidy of Rs.64 billion on electricity and Rs.40 billion on gas to alleviate the financial burden.
The closure of a significant number of textile mills and the resulting unemployment have become pressing issues for the textile industry, highlighting the urgent need for the government to address concerns regarding electricity and gas prices in order to revive the sector and prevent further job losses.
