Weaknesses, Threats and Issues of Pakistan Textile Industry

Weaknesses of the stuff perseverance?The government is unwilling to provide unless subsidies to the stuff industry. The government is of the view that the textile industry has been ?pampered? negotiable and that they check provided the desired amount of incentives and concessions. They think that it is more or less(predicate) beat the industry resolve its own issues and bring about evidentiary changes to tick the sustenance and progress of the industry. ?High be of production. The cost of doing line of descent is the highest in the south Asian region which comprises of: resuscitate avocation imposed on bank servicesExcise duty increase on insurance premiumsIncreased electricity and gas tariff rateMinimum bribe of workers stick out increased by 33%Rising of liaison ratesPakistan fails to act in the cost comparisons with the regional competitors. In Bangladesh a 42000 spike mill has a total gas billhook per calendar month of Rs 20 lakhs while in Pakistan it is of Rs 60 lakhs. The stripped take in Bangladesh is Rs 800 compared to Rs. 4000 in Pakistan which has just been recently announced. Likewise, the practice mesh that a garment worker demands is Rs. 1500 in Bangladesh compared to Rs. 7500 of Pakistan respectively. The wage promote interest rates which pack increased by about 150 % have proved very detrimental to the industry.

It has disheartened the firms from taking loans from major financial institutions and gave birth to loan defaults which have become very prominent in the badly looker knitting sector. Costs of inputParticularsChinaIndiaBangladeshPakistanPower rates per unit (in cents)00.93.48.3Water co! st per Kilogram0-3.04.7Gas accountability per MMBTU in dollars0-1.834.42The previous comparisons were made with Bangladesh with whom the costs of production of Pakistan textile industry earn a hint of respectability. Compared to India and China, the gravity of the earth of affairs is realized. China is exempted from electricity and gas tariffs while these rates are... If you need to get a full essay, order it on our website: BestEssayCheap.com

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