INP-WealthPk

Handmade carpet industry needs incentives to revive exports

May 29, 2023

Mansoor Sadiq

Handmade carpet industry, which was one of the leading export sectors of Pakistan, has witnessed a sharp decline during the last decade as its exports condensed from $500 million to merely $75 million, which is representing an alarming scenario. Ejazur Rehman, Chairman of the Carpet Training Institute, Punjab, told WealthPK that handmade carpet industry of Pakistan had a great potential owing to a great demand in the international market. However, he said, this sector had been ignored by the government in the recent years. He said enhanced government support and investment is needed to boost this sector.

Ejaz said the establishment of carpet training and production centres across the country would help revive the industry by providing skilled workers who could earn handsome income by making carpets for local and foreign consumers. He pointed out that Pakistan's representation in international exhibitions is negligible, resulting in a lack of proper promotion of its products and export orders.

Ejaz said 80% of the carpet industry is located in Punjab province. He mentioned that during the 70s and 80s era, more than 80 carpet training and production centres were functioning in each tehsil headquarters of Punjab under the control of Small Industries Corporation. He said the provincial government should restore the same model, especially in Lahore and Bahawalpur districts, to provide all facilities under one roof to overcome the shortage of skilled manpower. Mohyuddin Ansari from United Carpet Industries, who is also a senior member of the Pakistan Carpet Manufacturers and Exporters Association (PCMEA), told WealthPK that the Pakistani hand knotted carpets are in demand in Southeast Asia, the United States and Germany.

Ansari said this sector has been kept ignored during the last few years. He said one of main reasons behind low exports is inadequate marketing at international carpet exhibitions by handmade carpet sector of Pakistan. He also stated that soaring inflation, and high markup rates are also reasons behind the fall in exports. He said the government needs to provide incentives to handmade carpet manufacturers to address these issues.

Credit: Independent News Pakistan-WealthPk