Complete strike was observed in Southern Punjab and all the 51 units remained closed at the call of All Pakistan Textile Mills Association (APTMA) for one-day strike against imposition of quota on yarn exports today (Thursday).Local journalists visited a number of textile mills in Multan, Ismailabad, Muzaffargarh, Qadarpur Ran and adjacent areas.Addressing a press conference here today Muhammad Anees Khawaja Vice chairman of APTMA Punjab, Khawaja Muhammad Younas and others said," We have no political motive but we want to see Pakistan strong and prosperous and economically strong by earning maximum foreign exchange through exports," They said that we are fighting for our homeland not for our personal interests. They said that some 300 spinning mills from Karachi to Peshawar with 12 million spindles and over 850,000 labourers suspended their operations from 9am to 5pm. Neither production nor dispatches of yarn would be made to the yarn market by spinning mills.They defended the free trade mechanism in the light of WTO regime and said that being one of the signatories of WTO,Pakistan cannot violate the rules and regulation of WTO.M.Anees Khawaja said that APTMA in principal is against imposition of any kind of restriction on the export of yarn but more so the unilateral decision of the Textile Ministry for reduction from 50,000 tonnes per month to 35,000 tonnes per month and withdrawal of earlier exemptions given to value added."The strike can be prolonged if demand for lifting quota on export of yarn is not met,"Provincial Vice chairman said. If the strike is prolonged there could be an acute shortage of yarn in the country and the Ministry of Textile Industry will be responsible for it, he warned. .,"We would incur a loss of $20 million with the closure of operations in addition to revenue loss besides loss of valued customers, loss of market share as well as damaging Pakistan's reputation as a reliable supplier if we failed to fulfil international commitments", Anees Khawaja said. The spinners have reacted strongly to the downward revision of export quota from 50,000 tones to 35,000 tones despite a clear-cut assurance by the President Asif Ali Zardari that no further reduction in quota imposition would be made by the government.He said that spinning industry has invested $7 billion to increase its exports and to capture the world market as APTMA believes in free market mechanism and is of the firm view that any disruption in the free trade mechanism will hurt the whole textile industry as they are inter-linked with each other. Highlighting the previous record, they said that export of yarn for the year 2006-07 was 696,383 tonnes, in 2007-08 was 573,534 tonnes and in the year 2008-09 - a year of great recession - was 534,089 tonnes.He further said that during the year 2008-09 export volume of the entire textile chain made negative growth and it would not be justified to make the year 2008-09 base for imposition of quota on export of yarn.Referring to the statement that spinners had exported 55,281 tonnes of yarn against the quota of 50,000 tonnes in the month of January 2010, Tata said that SRO 26(1)/2010 through which quota of 50,000 tonnes on export of cotton yarn was imposed and the value added yarns ie Lycra, Dyed, Heather Grey or Melange, Slub and Bleached or singed were exempted from quota restriction was issued in the middle of the month, ie January 14, 2010 moreover, the export of yarn during the month of January 2010 was inclusive of value added yarn which were exempted from quota.Whereas in the month of February 2010, due to poor quota mechanism only 36,797.36 tonnes of yarns could be exported including value added yarns.
