Page 20 - CMA Journal (Sep-Oct 2025)

E x c lus iv e I nt er v iew

to ease liquidity pressures and reduce reliance on costly certi cations such as OEKO-TEX. With data showing
borrowing. Furthermore, export nance must be made With data showing over-reliance over-reliance on limited markets and product lines,
cheaper and available for longer tenures by enhancing Pakistan must adapt to emerging opportunities in China,
the limits and scope of EFS and LTFF, enabling exporters on limited markets and product Bangladesh, and GCC markets through customized,
to invest in capacity expansion, modernization, and
compliance upgrades essential for sustained global lines, Pakistan must adapt to high-quality, and design-driven textile o erings.
competitiveness. ICMA: How is the Pakistan Textile Council working
emerging opportunities in
ICMA: Rising energy and production costs remain a with the government to promote sustainable
major challenge, what steps are essential to improve industrial growth and export diversi cation?
the cost competitiveness for manufacturers and China, Bangladesh, and GCC Fawad Anwar: PTC is an apex body of top textile and
exporters?
markets through customized, apparel exporters. It is a not-for-pro t organization and
Fawad Anwar: Pakistan’s export industry is at a severe works as a policy advocacy platform. We remain
cost disadvantage compared to its regional high-quality, and design-driven continuously in contact with all stakeholders, both local
competitors due to high energy cost, taxation, and international. We provide evidence-based policy
nancing cost, stuck up refunds and other non- textile offerings recommendations to the government. We submit
refundable taxes and levies. The government should proposals during the budget-making exercise and also
To revive and sustain industrial growth, Pakistan must remove cross subsidy from industrial power tari and share input in policy-making exercises of the
implement a focused set of reforms centered on abolish peak rates and also remove cross subsidy from government in relation to energy, tax, and export
simpli cation, competitiveness, and access. Streamlining industrial gas prices, eradicate disparity in prices Additionally, maintaining macroeconomic stability enhancement. We also keep in contact with major
tax procedures and reducing compliance burdens will among the consumers and ensure reliable supplies to through disciplined scal management, timely
promote formalization and investment, while industrial consumers. If the energy prices in Pakistan payments, and a clear roadmap for debt and energy stakeholder organizations operating in our export
government funding should be strategically utilized to are not regionally competitive, Pakistan exports will markets like the EU, US, and UK to help Pakistan build its
enhance Pakistan’s global image through business not compete in international markets. reforms will signal reliability to both domestic and image as a sustainable and responsible sourcing
advocacy and marketing, rather than solely funding foreign investors. Streamlined regulations, digitalized destination. We also ensure our presence at major
certi cation or testing infrastructure. ICMA: Policy uncertainty often discourages invest- approvals, and rule-based decision-making will further national and international events on sustainability,
ment; how can the government ensure stability and reinforce trust, creating an enabling environment where
Energy sector rationalization is equally vital, ensuring build lasting business con dence? businesses can plan, invest, and expand with con dence. circularity, and green economic growth.
regionally competitive electricity and gas tari s through Fawad Anwar: The Government of Pakistan must priori- ICMA: As a business leader, what message would you
formal SROs or legal instruments to provide tize policy consistency, institutional coordination, and ICMA: How can Pakistan move beyond the low-value like to give policymakers on reviving Pakistan’s
predictability and support export competitiveness. transparent governance. Establishing long-term, legally exports and encourage greater innovation and value
Expanding access to nance for SMEs and industrial backed policy frameworks particularly for taxation, addition across industries? industrial base?
units, especially in textiles and allied sectors, through energy pricing, and export incentives will help reduce the Fawad Anwar: To revive the industrial base and enhance
long term concessional loans and targeted green uncertainty that deters investors. Strengthening consul- Fawad Anwar: Moving up the value chain requires export competitiveness, Pakistan must prioritize tax and
incentives will drive modernization and sustainability. In tation mechanisms with industry through structured targeted incentives and e ective public–private regulatory simpli cation by streamlining procedures,
particular, the Pakistan Textile Council underscores the public–private dialogue can ensure predictability and coordination. Policymakers must incentivize downstream reducing compliance burdens, and building Pakistan’s
urgent need to relaunch and strengthen the Renewable policy continuity across political cycles. exports by o ering lower duties for high value-added soft image and global market perception through
Energy and Green Transition Financing Scheme to products such as nished garments, technical textiles, and business advocacy and international marketing. Equally
enable industry wide transformation. performance fabrics rather than focusing on raw ber or crucial is energy sector rationalization to ensure
greige exports. Factory modernization should be made
ICMA: What policy and tari measures do you believe regionally competitive electricity and gas tari s through
can make Pakistan’s industries more competitive in nanceable through an expanded LTFF that supports formal legal instruments, providing certainty and cost
the global market? automation, compliance with environmental and labor stability for exporters. Additionally, improving access to
standards, and energy-e cient machinery, with the State
Fawad Anwar: Pakistan must restore the Export Finance Bank reorienting its instruments through sector-speci c nance through expanded credit facilities, concessional
Scheme (EFS) in its original form, as taxing raw materials long-term nancing, and targeted green incentives will
for exports contradicts global best practices and under- windows. drive expansion, innovation, and sustainability, with the
mines competitiveness. Recent amendments imposing Similarly, public co-investment in textile R&D centers, Pakistan Textile Council emphasizing the urgent
duties and GST on essential textile inputs have hurt testing facilities, and sample hubs especially with relaunch of the Renewable Energy and Green Transition
exporters and should be reversed. Equally critical is the subsidized SME access, can accelerate innovation, ensure Financing Scheme. The potential to grow Pakistan’s
restoration of regionally competitive and legally guaran- faster turnaround, and help rms meet global compliance exports is huge, and all we need to do as a country is put
teed electricity and gas tari s for export-oriented units, our house in order.
as high energy costs erode pro t margins even when demands. Export diversi cation should be actively
global market conditions are favorable. promoted through market development funds, enabling The Editorial Board thanks Mr. Fawad Anwar, Managing Director,
entry into non-traditional regions like Africa, Latin Al-Karam Textile Mills Pvt. Ltd. and Chairman of Pakistan Textile
Export rebates and refunds should be fully digitalized America, and Central Asia, and supporting participation in Council (PTC) for sparing his precious time to give an exclusive interview
and simpli ed, with statutory timelines such as 30 to 45 trade fairs, buyer delegations, and sustainability for Chartered Management Accountant Journal.
days for duty drawback, refund, and EDF disbursements

18 ICMA’s Chartered Management Accountant, Sep-Oct 2025