About 40% of Faisalabad’s power-loom units have shut, with industry representatives blaming cheaper imports, higher utility bills and taxes.
Dawn reports that around 40% of businesses in a sector with nearly 800,000 looms have closed. Aslam Meraj, president of the Textile, Power Loom and Garment Workers Union in Faisalabad, said more than 100,000 workers had lost their jobs. That figure is an industry representative’s estimate cited by the newspaper.
Business owners say Chinese yarn, grey cloth and finished textiles are cheaper than locally made goods. They also point to high electricity and gas bills, taxes, and disruptions to trade with Afghanistan and Central Asia. Shakil Ansari, head of the Faisalabad Sizing Mills Association, said road and border closures had interrupted cloth shipments and delayed payments.
Muhammad Sabir, who owns a 44-loom unit, also complained about utility costs, Federal Board of Revenue taxes and labour inspections. He criticised the government for allowing inexpensive imports into the market.
The Council of Loom Owners Association has asked Commerce Minister Jam Kamal to strengthen customs valuation checks. It alleges that some Chinese yarn, fabric and other textile products are declared at artificially low values on entry into Pakistan, reducing duties and disadvantaging local producers. The group proposed comparing Pakistani import declarations with Chinese export documents. Dawn presents this as the industry body’s claim and does not provide an independent estimate of the alleged under-invoicing.