Leather Industry Need to Change the Export Structure

Bernard Francois, head of cooperation, Delegation of the European Union (EU) to Pakistan, attended the second project steering committee meeting arranged by the EU-funded Pakistan Leather Competitiveness Improvement Programme (PLCIP) under the European Union's Trade Related Technical Assistance Programme.

The programme is aimed at improving the overall value chain in the leather sector of Pakistan. The purpose of the meeting was to update stakeholders and EU representatives about the programme's activities and industry interventions over the last one year.

Speaking on the occasion, Francois emphasised on changing structure of exports to include more value-added products to compete with China. He said that the government of Pakistani should take the reins in their hands, and steer the sector towards more value addition, and higher export earnings.

In his presentation, PLCIP Project Director Usman H Malik briefed the audience about the value additions and intervening activities in the leather industry. He said that that the PLCIP was supporting the Business Intermediary Organisations (BIOs) i.e. PLGMEA, PTA, PGMEA and PFMA; and Business Development Services and Vocational Education Training (BDS/VET) providers i.e. Pakistan Institute of Fashion Design (Lahore), University of Veterinary and Animal Sciences (Lahore), National Institute of Leather Technology (Karachi), Government Institute of Leather Technology (Gujranwala) and Leather Product Development Institute (Sialkot).

The main developments included improving productivity, shop floor management, export diversification and new market access. "The assistance of the PLCIP would go a long way in providing technical training and know how to the Pakistani leather exporters to address the challenging needs of the international market," he said.

Representing Pakistan, Commerce Ministry Additional Secretary Dr Aamer Ahmed said that the PLCIP's cross-cutting programme had been beneficial for the leather sector and the industry would need to keep pace with the changing times and create value addition to enter the high-end product markets in the leather sector. "The industry needs a forward looking approach to match the product to the market demands," he said and assured participants of the ministry's support to new proposals. Dr Aamer also invited the EU to join hands for improvement in the leather sector beyond the TRTA-III programme.

Representatives from the Pakistan Tanners Association, Pakistan Leather Garments Manufacturers and Exporters Association, Pakistan Footwear Association and Pakistan Gloves Manufacturers and Exporters Association, Pakistan Institute of Fashion Design, Government Institute of Leather Technology, National Institute of Leather Technology, University of Veterinary and Animal Sciences and Leather Product Development Institute highlighted different issues and challenges being faced by the manufacturers in general, and requested the EU for further assistance.

The meeting ended with a vote of thanks from PITAD Director Umar Dad Afridi.

Source: Daily Times