PGMEA and SCCI urge ban on export of splits

14/12/2004

The Pakistan Gloves Manufacturers’ and Exporters’ Association (PGMEA) and the Sialkot Chamber of Commerce (SCCI) have independently urged the Pakistan government to stop the export of split leather to China and other countries. The reason for this request was cited as a measure to save Sialkot’s export-oriented leather goods and leather gloves industries and to ensure the maximum possible supply of split leather for the domestic market.

 

Pakistan has reported a significant decline of 35.57% in exports of leather and gloves in the first five months of the financial year (July to November). With exports having dropped from $24.396 million to $15.719 million year-on-year, those involved in the industry see a need for action to halt the decline.

 

The senior vice chairman of the PGMEA, Suhail Masood, said that the leather gloves and leather goods industries are suffering a financial crisis due to a prolonged shortage of raw materials, especially split leather. He stated that local manufacturers have been forced to close their facilities due to a lack of raw materials and this has led to many people who are paid on a daily basis being without work.

 

The chairman of the Sialkot leather committee at the SCCI, Muhammad Safar Sandal, claimed that split leather has been being smuggled to China for the past year and that this illegal practice has led to a shortage of raw material in the local area and in other towns and cities. He commented that the shortage of splits has hampered glove production in fulfilling orders and he is afraid that contracts could be cancelled as a result of this, thus plunging the industry into further financial crisis.