Government to Support Pakistan Towel Industry with New Policies and Global Growth Strategy

In an effort to tackle the difficulties faced by Pakistan's towel industry, Federal Minister for Finance Muhammad Aurangzeb convened a session of the committee formed by the Prime Minister. The meeting included the Minister for Commerce, senior officials from the Ministry of Commerce, Finance Division, the Federal Board of Revenue (FBR), and the State Bank of Pakistan, along with representatives from the towel manufacturing sector.

The industry representatives presented a detailed overview of the sector’s importance, contributions, and the challenges it faces. They noted that Pakistan stands as the third-largest global towel exporter, following China and India. As the country's only fully export-oriented sector, the towel industry supplies products to 125 nations worldwide.

Representing 200 companies, the Towel Manufacturers Association (TMA) contributes $1.77 billion annually to Pakistan’s economy. The largest export markets include the United States, which imports 33.44% of total exports, and Europe, accounting for 30.15%. The industry also employs 2.8 million individuals.

During the session, industry leaders emphasized the necessity for clear tax regulations, a competitive tax structure, and consistent policy stability to promote long-term growth and maintain global competitiveness.

The finance minister assured participants that the government would actively support the towel industry, reaffirming that their concerns would be promptly addressed. He highlighted the critical role of a stable and investor-friendly tax environment in boosting exports and strengthening Pakistan's position in the global textile market.

Speaking about the significance of exports for economic development, the finance minister stated: "The government remains fully committed to ensuring the continuous growth of exports. We regard the private sector as an essential partner, and our policies will continue to reflect this collaborative outlook."

The meeting concluded with a commitment to fostering stronger public-private collaboration to maintain the competitiveness of Pakistan's towel industry in international markets