Textile industry in Pakistan is facing tough competition against the regional competitors including Indonesia, Vietnam, Sri Lanka, Bangladesh, China and India. A comparison chart prepared by All Pakistan Textile Mills Association (APTMA) reveals the textile industry in the regionally competing countries are enjoying 24/7 energy availability to the textile mills. But the textile mills in Pakistan, particularly those in the province of Punjab, are facing energy shortage. The Association has further claimed that over 100 textile mills have closed down production capacities because of energy shortage and other relevant factors in Punjab. In addition, the textile industry in Pakistan is paying an energy tariff of 14.25 Cents/KWh comparing with 9 Cents/KWh in Indonesia, 7 Cents/KWh in Vietnam, 9 Cents/KWh in Sri Lanka, 7.3 Cents/KWh in Bangladesh, 8.5 Cents/KWh in China and 9 Cents/KWh in India. However, the textile industry in Pakistan is enjoying equal treatment on the matrix of interest/policy rate. The data shows the interest/policy rate for textile industry in Pakistan is 6 percent against 7.5 percent in Indonesia, 6.5 percent in Vietnam, 6 percent in Sri Lanka, 5 percent in Bangladesh, 4.6 percent in China and 6.75 percent in India. But it has registered an alarming slide on the bar of minimum wage rate, which is $125 per month in Pakistan against $74 per month in Indonesia, $90 per month in Vietnam, $66 per month in Sri Lanka, $68 per month in Bangladesh, and $90 per month in India. It is only China, which is leading even Pakistan on this front with $200 per month wage of textile workers. Therefore, the Chinese entrepreneurs are in the process of assessing the strength of Pakistan market to relocate its textile units here in the days to come, said one local textile miller. So far, as the currency change is concerned during the period starting from December 2013 to December 2015, it is -15.2 percent in Indonesia, -5.6 percent in Vietnam, -9.3 percent in Sri Lanka, -0.6 percent in Bangladesh, -5.1 percent in China, -8.1 percent in India against +3.0 percent in Pakistan.
