Aptma laments delay in issuance of TUFS notification

LAHORE: All Pakistan Textile Mills Association (Aptma) Chairman S M Tanveer has lamented inordinate delay in the issuance of notification for Technology Upgradation Fund Scheme (TUFS), hindering the industry from undertaking BMR & fresh investment initiatives for the textile industry, a statement said on Tuesday.
The federal government has withheld the notifications of initiatives under the Textile Policy 2014-19 to avail of the terms of Technology Upgradation Fund Scheme (TUFS), it said.
Already, he said, the textile industry has lacked behind the region on the front of technology and machinery upgradation. There is no meaningful addition in the sector since 2006, he added.
Consequently, serious structural imbalances have occurred across the textile value chain, as 25 percent of the basic textile worth $4 billion is being exported annually without converting into garments due to the non-existence of backward and forward linkages to add value up to $15 billion exports, he said.
Only 15 percent of the previous Textile Policy 2009-14 could be implemented due to paucity of funds. Moreover, refunds relating to investment markup support and Technology Upgradation Fund Scheme have not been cleared to date.
He apprehended the new scheme may also witness a similar fate in case no timely steps are taken by the government.
The Aptma chairman has urged the prime minister, finance minister and commerce minister to immediately take notice of the situation and issue directives for notifying the Textile Policy 2014-19, in particular the TUFS, to ensure investment for undertaking initiatives under BMR and greenfield projects.