Imported garments flood local market
KARACHI, May 28: The textile apparel industry, faced with a tough competition in the world market, is also unable to compete with cheap imported garments and fabrics in the domestic market.
According to traders, the local markets, particularly of posh localities, are flooded with imported readymade garments.
Beside, being cheaper than locally manufactured garments, the quality and designs are also better which attract buyers of all income groups.
These garments and fabrics are finding their way to domestic market from China, India and other regional countries.
Pakistan Hosiery Manufacturers Association (PHMA) Chairman Javed Bilwani said if apparel industry is unable to compete even with imported garments, it is indicative that some serious problem must be confronting the industry.
He further stated that one may believe that the apparel industry owing to its own inefficiency was unable to compete in the world market, but what about the domestic market where it has all the advantages and doesn’t have to incur freight and other costs.
Pakistan Readymade Garments and Exporters Association Chairman Bilal Mulla said that presently the local market is flooded with readymade garments coming through Afghan Transit Trade and this indicates that being cheaper than local products they are in great demand.
He asked the government to conduct an independent survey of the local market to know the real factors which are making local apparel industry uncompetitive not only in the world market but also in domestic market.
According to a PHMA survey, out of 2,000 apparel units, around 300 to 400 have already closed down after failing to compete in the world market owing to high cost and tough competition from regional countries.
Javed Bilwani stated that presently around 85 per cent of children’s garments in the domestic market are either imported or make their way through ATT. The remaining 15 per cent, he said, are locally manufactured but the fabric used in making these garments is imported.
He further stated that imported ladies cloth and fabric has captured the domestic market up to 60 per cent whereas gents’ readymade garments, particularly suits, have captured up to 80 per cent of the market.