INP-WealthPk
Manufacturers Seek Incentives to Enhance Sports Goods Exports
May 26, 2022
By Raza Khan ISLAMABAD, May 26 (INP-WealthPK): The local manufacturers of sports goods have called upon the government to provide them with incentives to enable them to produce quality goods and enhance exports. “Pakistan’s sports goods industry has the potential to increase production and enhance exports up to $500 million by next fiscal year if necessary support is provided by the government,” Mohsin Masood, Secretary General of Pakistan Sports Goods Manufacturers and Exporters Association (PSGMEA), told WealthPK. He said that sports goods worth $277 million were exported by Pakistan in the previous fiscal year, which is far below its real potential. Mohsin said that 500 sports goods manufacturing units were functioning under the umbrella of the PSGMEA in Sialkot city of Punjab province. He said that incentives for sports goods manufacturers would attract investment. He said the government should reduce excise duty on importing raw material for manufacturing sports goods. “Raw material such as rubber, leather, aluminium, cork, carbon fibre, polymer and polyester should be fully or partially exempted from import duty,” he added. The PSGMEA secretary general urged the government to provide uninterrupted gas and electricity to sports goods industry at a fair price. “Provision of gas and power at competitive rates to the industry will increase production and export of sports goods,” he added. Football, soccer ball, volleyball, rugby balls, basketball, cricket ball, shuttlecocks, gloves, hockey sticks, sportswear and boxing equipment are major products of the sports goods industry in Pakistan. Mohsin termed the increase in exports of sports goods during the first 10 months of the current fiscal year a positive sign. However, he said that the industry still needs diversification to improve products and further enhance exports. “Of the total sports items exported from July to April 2021-22, 51% were footballs,” he said, and advised the exporters to consider manufacturing other sports goods too for getting maximum benefits. The PSGMEA secretary general called upon the government to explore new international markets for Pakistan’s sports goods through diplomatic channels. “The government should mobilise its trade missions in various regions to explore new markets,” he added. Mohsin urged the manufacturers to adopt modern techniques to meet the standards set by various countries. He said that the sports goods industry in Sialkot was already producing items of international standard. According to the Pakistan Bureau of Statistics (PBS), exports of sports goods from the country increased by 33.43% during the first 10 months of the current fiscal against the corresponding period of the last fiscal year. The volume of sports goods exports rose to $295.833 million in July-April 2021-22 from $221.721 million in the corresponding period of last fiscal year. The volume of football exports rose to $152.146 million during the first 10 months of the current fiscal against the $108.384 million during the same period of last year, witnessing an increase of 40.38%. The data available with WealthPK shows that the volume of gloves exports reached $63.404 million from $56.537 million, registering an increase of 12.15%. According to Trade Development Authority of Pakistan, the United States, Spain, Germany, the United Kingdom, Japan, France and the Netherlands are the top export destinations for sports goods manufactured in Pakistan.
