SIALKOT, June 6: The Pakistan Hosiery Manufacturers Association (PHMA) has urged the government to abolish the recently levied 35 per cent margin of mark-up on opening LCs by importers.

Speaking at a press conference here on Friday, PHMA (North Zone) vice chairman Ziaur Rehman Choudhary said 35 per cent margin of mark-up on opening of LCs was badly affecting imports, and importers would not be able to import raw material to be used in the manufacturing of the export products.

This would increase the cost of production of export items due to which the country’s textile exports would suffer.

He said there was a 31 per cent decline in textile exports from Pakistan due to worst law and order situation in the country and that foreign customers were avoiding visiting Pakistan.

He said that the world’s second biggest industry is sports-wear which is speedily developing in Sialkot and needs immediate attention of the government.

He expressed grave concern over shifting of several textile units from Faisalabad to Bangladesh. He said this trend would be dangerous for Pakistani textile sector.

He feared that if this trend continues, there would be $1 billion decline in textile exports from Pakistan.

The government should take effective measures, besides announcing incentives to halt the shifting of textile units from Pakistan to other countries.

Ziaur Rehman also urged the government to increase the research and development for textile exports from the existing six per cent to 10 per cent.