Pakistan leather exports down 33% in November - leatherbiz: Leading ne Leatherbiz

News

Pakistan leather exports down 33% in November

02/01/2003

Some idea of the decline seen in Pakistan’s exports of finished leather in the past year is provided by new figures from the Pakistan Tanners’ Association (PTA).  These show that compared with the year before, the country’s exports of finished leather fell 33% in November, to $120.75 million.  The declines for September and October were 13.35% and 18.3% respectively.

 

In a statement accompanying the release of the figures, PTA chairman S. M. Naseem cited a combination of factors. These included global recession, unfavourable exchange rates in relation to the dollar and the cutback in duty drawback rates seen during August.   He also highlighted the fall off in orders from garment manufacturers which had resulted in many tanners serving the sector operating at only 20% capacity. 

 

To counter the situation, the chairman called on the government to reverse the cutbacks in duty drawback rates and for a reduction in re-finance rates.  At the same time, he urged the government to look urgently at new administrative procedures that had made it virtually impossible for the tanners to file their claims for duty refunds.  He also demanded his inclusion as a permanent member of the Federal Export Promotion Board (FEPB) and the withdrawal of the Export Development Surcharge for a minimum of one year, starting January 2003.

 

Meanwhile, the PTA has reported that the government given its approval for the creation of an industrial zone for tanneries at Sialkot in Punjab Province. According to a circular issued by PTA, the proposed zone would be developed on 300 acres at a cost of PRs900 million.

 

At present, as many as 248 tanneries of different sizes are functioning in and around Sialkot city, which is a major centre of production for sports and surgical goods. The Punjab Government will provide an interest-free loan to cover 75% of the building costs, with the remainder coming from the local business community.

 



Leatherbiz.com cannot be held responsible for content if the language setting is changed from English.

The translations provided by Google Translate are automated and therefore might not be accurate and may contain incorrect, offensive or misleading language. We offer this facility as a guide only.