Pakistani carpet exporters concerned over fluctuation in dollar rate

October 04, 2022

The Pakistani carpet exporters have shown serious concerns over the fluctuation in the value of the dollar and termed it the main cause of their problems.

The office-bearers of the Pakistan Carpet Manufacturers and Exporters Association (PCMEA) said that the exporters of carpets were facing problems owing to the fluctuations in the value of the dollar.

“Exporters of hand-woven carpets are reluctant to negotiate product deals with foreign buyers due to the fluctuating trend in the value of the dollar,” PCMEA senior vice-chairman Usman Ashraf, Abdul Latif Malik, Riaz Ahmed, Ijazur Rahman, Kamran Razi, Saeed Khan and others said in their joint statement received by WealthPK.

They said that the government and the State Bank of Pakistan should examine the factors of fluctuation of the dollar and take measures to keep it stable at a level so that the exporters could meet the commitments made with foreign buyers.

“The dollar's tendency to fluctuate will hurt exporters, who are already selling their products at very low margins due to the global recession,” they said.

The representatives of PCMEA said that owing to the increase in minimum wages, prices of raw materials and freight charges, they had already been out of competition with other countries.

They said that in the neighbouring country, there was also a trend of fluctuations in the price of the dollar, but it was of a very minor nature that didn’t have much impact on the export deals. The country is currently facing a current account deficit and a further reduction in exports in such a situation can prove disastrous for the national economy.

“To minimise the trade balance, the country needs to promote exports and introduce export-friendly policies. It is hoped that new Finance Minister Ishaq Dar will listen to our requests, while at the same time, the process of payment of refunds will also be speeded up,” said the press release received by WealthPK.

Credit : Independent News Pakistan-WealthPk