Chronic power and gas shortages severely hit the domestic garment sector of the country as it exports fell by $139 million during financial year 2011-12.
The country’s garment exports declined by $139 million, from $1.773 billion in fiscal year 2010-2011 to $1.634 billion in fiscal year 2011-2012.
According to exporters they had suffered eight percent decline in exports of readymade garments in the last fiscal year.
According to former chairman of Pakistan Readymade Garments Manufacturers and Exporters Association (Prgmea), Ijaz A Khokhar garment exports had declined by at least 15 percent. He said that the production of garments had declined between 35 percent and 40 percent because of persistent shortages of electricity and gas.
He said that labourers had become 30 percent more expensive; adding to the overall cost of production, making domestic products uncompetitive in global markets. He said that despite the presence of lucrative opportunities, local investment had completely stopped.