Pakistani Carpet-Makers Demand Incentives

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Pakistani Carpet-Makers Demand Incentives
Lahore, Pakistan, February 14, 2007--The Carpet Manufacturers and Exporters Association (CMEA) in a meeting with a Trade Development Authority of Pakistan official has demanded the government to provide facilities to the local traders and exporters equivalent to those of the Indian and Chinese entrepreneurs.

In a detailed meeting with TDAP Director General Agha Zafar Mehdi Shah, the association’s chairman Mian Javed-ur-Rehman said that Pakistan’s carpet industry was competing with India and China with limited resources and facilities. He said the Indian government was giving 8 percent rebate against 0.33 percent in Pakistan. Similar facilities are extend to carpet manufacturers and exporters in China besides other subsidies and incentives, he added. Mian Javed also criticised the increase in labor wages up to 33 percent in budget and pointed out that labor has become costlier than raw material.

He urged to fulfil the promise of setting up carpet city immediately. According to him, carpet exports declined substantially in first half of the fiscal year 2006-07. The TDAP DG assured the delegation of forwarding the demands and proposals to the high command. However, he pointed out that authority was striving hard to ease down the competing pressure on the carpet manufacturers and exporters.