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The situation has worsened in Faisalabad and adjoining towns — a hub of power looms and allied industries, including sizing — where thousands of workers have lost their jobs. Around 40 per cent of units have shut down in a sector comprising nearly 800,000 looms, Dawn has learnt.
“This small industry is in great trouble these days because it is no longer competitive in a market dominated by Chinese yarn, grey cloth and even finished cloth being imported in bulk,” Textile, Power Loom and Garment Workers Union Faisalabad President Aslam Meraj told Dawn on Tuesday.
He said imported textile products were cheaper than locally produced goods, while rising utility bills and taxes had made it increasingly difficult for power loom operators to survive.
“More than 100,000 power loom workers have become jobless. Power looms are being closed on a daily basis and workers are being terminated,” he claimed, criticising the government for failing to protect the local industry.
Faisalabad, often described as the Manchester of Pakistan because of its concentration of textile and allied industries, has nearly 800,000 power looms operating in establishments ranging from small workshops to factories housing between 1,000 and 5,000 looms. Power looms manufacture grey cloth from yarn after it is processed at sizing units.
Industry representatives said yarn imported from China was largely polyester-based and was being used by exporters to manufacture grey cloth, some of which entered the domestic market when exports declined. They argued that cheaper imported yarn, grey cloth and finished products had put local power loom operators at a disadvantage.
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