FAISALABAD, Dec 5: Textile exports of the country are heading for a big disaster in the wake of high export refinance rates of 5 per cent coupled with 13.1 per cent anti-dumping duty and 12 per cent GSP duty , making export items 30 per cent costlier as compared to those from India, China, Bangladesh, Sri Lanka and other developing countries.

These apprehensions were expressed by Pakistan Textile Exporters Association (PTEA) Chairman Faiq Jawed while talking to newsmen here on Sunday. He said that never in the past so many negative factors had been faced by textile exporters simultaneously.

"The exports of bed linen are already facing anti-dumping duty of 13.1 per cent in Europe since May this year. The GSP concession of 10 per cent is being withdrawn from Dec 31."

Combined effect of these measures, according to PTEA chief, would result in high cost of production, throwing local products out of competition in the international market.

Jawed said that the exporters had prepared themselves for the textile quota phase by going into value addition and improving their production line by installing latest machinery as well as adopting quality standards.

"Most of the exporters have acquired ISO certification and are hoping to maintain the tempo of their exports but unfortunately external factors like anti-dumping duty and GSP duty have dealt a sever blow to the planning schedule and commitments made with international buyers."

He demanded that the Pakistani exporters should be provided with a level playing ground to enable them to compete successfully with their immediate rivals.

SCCI: The Sialkot Chamber of Commerce and Industry (SCCI) has urged the government to reduce the rate of export refinance in "the larger interest of the business community and the country."

Talking to the newsmen, SCCI's acting president said that with the recent increase of 0.5 per cent the ratio of mark up on export refinance had risen up to 2.5 per cent, having a telling effect on the SMEs. He urged the government to bring the rate down to one per cent.