ISLAMABAD, April 19 (SABAH): China’s textile and garment industry producing more than 40 percent of global textile and apparel exports is relocating to Bangladesh and Vietnam while it has ignored Pakistan which should not have been the case, a business leader said Wednesday.
Chinese textile industry is relocating to Bangladesh and Vietnam that are away, lacks cotton production and are without solid textile base like Pakistan, said Chairman of FPCCI Regional Committee on Industries Atif Ikram Sheikh.
He said that increased cost of doing business and environmental issues has made survival for Chinese textile industry difficult but the investors have ignored Pakistan despite being a neighbour which has raised many questions.
Atif Ikram Sheikh said that Government should improve business environment and inform Chinese investors about liberal policies, repatriation of profits and other facilities.
Relocation of Chinese industry to Pakistan will generate jobs and revenue therefore government must inform Chinese investor about the incentives and the recently announced textile package which has made this sector more attractive for the local and foreign investors, he said.
The business leader said that cost of doing business is lower than China which is a great advantage for the Chinese investors, he said, adding that recently announced export growth package is a golden opportunity for foreign investor to enter in join venture agreements with local companies.
Government is promoting deregulation and investing heavily in the infrastructure while the duty-free import of machinery is a great incentive, he remarked.