Abundant use of cotton resources has made the textile industry of pakistan move towards the area of industrialization. Labor: Cheap labor has always been the backbone of the economy of pakistan. Cheap and ample supply of labor strengthens the industrial and agriculture sector of the country. Around 39 of the labor force works in the textile sector. As Karl Marx said that we have to use the "army of labor" present in the country for productive means. Thus cheap and abundant labor means low cost of production. Rich Heritage: due to cultural diversity and rich heritage, designers come up with new different and attractive designs which are appreciated worldwide. Our culture comprises of Sindhi, punjabi, balochi and Pushtoo values.
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Pakistan's textile spinning industry is presently in a crisis. As a result of poor cotton crops, the withdrawal of cotton subsidy and the export of raw cotton, the industry, whose feasibility has been based on the use of low-priced cotton, is no longer viable. Pakistan's weaving sector has an installed capacity of 14,130 looms swat in integrated weaving mills; 13,340 looms in shuttless weaving units; and approximately 200,500 to 225,250 looms in the power loom sector. The looms installed in the integrated units are old and less than approximately 40 percent are working. The independent weaving units are a relatively new phenomenon in the pakistan market, and have been created as a result of market demand, government incentives and the move towards higher quality products. Pakistan's finishing industry is comprised of approximately 670 units, the majority of which are independent units and complimentary to the weaving industry. Their installed capacity is old and needs replacement. The integrated units are reported to have a capacity utilization of only 35 percent of installed capacity as most of their machinery is also old and uses outdated technology. (Citied at Directors review of aptma.). Swot analysis: Strength: Raw material Base: pakistan has high self sufficiency in raw material and is the fourth largest producer of cotton.
The market has declined drastically over the last six years. In pfy-93, pakistan imported usd 789.2 million worth of textile machinery. Imports fell in subsequent years barbing to usd 352.7 million in pfy-94, usd 294.9 in pfy-95, usd 187.0 million in pfy-96 and usd 129 million in pfy. Given improved financial conditions, the import market share is expected to increase by 10 percent annually over the next three years. (Citied at website of aptma.). Business Model Analysis, the textile industry is today based almost entirely in the private sector as the inefficiency of the public sector units has forced the gop to privatize them. The three remaining textile units in the public sector are integrated units and are to be offered for privatization in the very near future.
Exports of all textiles in pfy-97 totaled a value of usd.4 billion. The major buyer of textile golf clothing and accessories was the United States, which purchased usd 309.2 million of goods. (Michelle, pakistan Profile, january/February 2007). Problems in industry, pakistan's excessive economic reliance on the textile industry now necessitates the upgrade of its low value-added textile products to higher value-added products and the development of additional export markets. The government of pakistan (GOP) has reportedly constituted a textile commission to examine the problems of the textile industry and guide its future planning in the effort to turn this vital sector of the country economy into a healthy and internationally competitive industry. The upgrade to value-added production will require more sophisticated machinery. Trade sources believe that given favorable rupee/dollar parity, the textile industry may be expected to grow by as much as 10 to 15 percent annually over the next 2-3 years. Technology being implied, in pfy-98 pakistan offered an import market of usd 213 million for the sale of textile machinery, equipment and parts. Statistics for domestic production are not available, but trade sources report that manufacture, which is geared to demand, is at the present time negligible.
To cope with this dire need, it was proposed to hire foreign experts on long term basis to upgrade the knowledge and skills of the workers employed in the garment industry. Industry Scenario: As"d by Chairman of All pakistan Textile mill Association, textiles are the most important industry in pakistan. It accounts for approximately 40 percent of manufacturing employment, over 60 percent of total exports, and over 30 percent of value-added production. Pakistan's textile industry, based on locally grown cotton, produces cotton yarn, cotton cloth, and made-up textiles and apparel. Industry facts and Figures, as data cited at web published edition of aptma, pakistan had a total of 503 spinning mills with an installed capacity of 10,437,000 spindles and 155,104 rotors. The weaving industry has 53 integrated units (composite units with spinning and weaving in one unit) with an installed capacity of 14,130 looms; 512 shuttle less weaving units with an installed capacity of 13,340 1ooms; and approximately 30,000 units in the power loom (shuttle loom). In pfy-97 it additionally had 670 finishing units with a production capacity of 3,460 million. Meters of fabric per annum, 700 knitwear units with 15,000 knitting machines, and 4,000 garment units with 160,000 industrial and 450,000 domestic sewing machines.
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The implication would be serious if no action is taken to improve productivity and efficiency. In the expressive garments sector, pakistan's productivity is estimated to be only 37 of the benchmark established by China. Compared to this, India's garments sector productivity is better,. For pakistan, raising productivity by improving production process efficiency is key to reap benefits after the multi-fibre Agreement was abolished. If pakistan is able to increase its productivity in textiles and clothing by 60 and reach China's productivity level, the gain would likely be over us 1 billion per year. Keeping in view the emerging trend in the global market, there is a huge potential for pakistan's garment sector.
However, to be competitive in the global market after the removal of the &apos" regime' in January 2005, it is imperative to have efficient and cost effective production systems with minimum wastages to attract buyers. The tusdec need assessment which included discussions/interviews with the key garment exporters clearly revealed the need for urgent reforms in the textile industry and especially in garment manufacturing and exporting as this is the most value added sector. This need had never before been felt as intensely as now, in the major garments clusters located in Lahore, karachi, sialkot, faisalabad and Multan. In unison they expressed that the existing infrastructure of textile garments institutes in the country is not able to fulfill the requirement for skilled human resources to meet the immediate demand. The need assessment showed that an intervention for fast-track capacity building of the garment industry to meet the challenges posed by the ever-changing demand of international art markets was justified.
Back to the top. Print, reference this, published: 23rd March, 2015 3rd may, 2017. Textile and Garments is considered the most important sector of pakistan's economy and the largest industry with a 46 share of total manufacturing. Accounting for 67 of exports, employment for 40 of the workforce and.20 share in gdp confirms the importance of this sector. Pakistan's large available human resource pool offers an important incentive for further growth of this labor intensive industry.
Contribution of Textile garment Sector, percentage contribution, total Manufacturing. Total Exports 67, employment for Workforce 40, total Share in gdp.20, although pakistan is the fourth largest cotton producer in the world with strong spinning and weaving infrastructure, the value added sector (cotton products) has a small share in exports. The main reason is shortage of training facilities able to enhance skills and produce competent middle managers having in-depth knowledge of processes and hands-on experience in contemporary technologies. Garment manufacturing is a major growing sub-sector of the textile value chain. It consumes the majority of the workforce in pakistan's textile and garments industry and has been contributing towards the high growth-rate in exports as figures shows it is 67 contributing in export of pakistan. However, the garment industry is now suffering from some acute problems - in productivity, in quality, in management marketing skills - and thus facing a serious threat of a reduced share of international markets. According to the world Bank's report on the impact of" Elimination in pakistan, the effect on apparel exports from pakistan will be negative due to stronger competition from other countries.
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