Textile Industry Calls for Supportive Measures in Budget 2026-27
By Muhammad Bilal | Published Jun 8, 2026 | 4:14 pm
The Pakistan Textile Council (PTC) has urged the government to introduce policy measures in the upcoming federal budget aimed at promoting investment, strengthening exports, and improving the competitiveness of Pakistan’s manufacturing sector.
PTC Chairman Fawad Anwar emphasized the need for a long-term fixed-rate financing facility for industrial projects, restoration of the Final Tax Regime (FTR) for exporters, and the removal of advance taxes on export-oriented businesses.
According to the council, exporters continue to face challenges such as high financing costs, rising energy prices, liquidity pressures, and a complex taxation framework, all of which affect investment decisions and export growth.
“The upcoming budget provides an opportunity to encourage investment-led and export-driven economic growth,” Anwar said. “A stable policy environment and predictable financing options can help businesses plan for the future and expand their operations.”
He noted that industrial projects often require long-term planning and suggested that fixed-rate financing for up to 10 years could support industrial expansion, technology upgrades, and the development of new export-focused manufacturing facilities.
The council also highlighted the importance of improving cash flow for exporters by simplifying tax procedures and reducing advance tax deductions. According to PTC, a streamlined taxation framework would help businesses focus more effectively on production and export activities.
PTC stated that Pakistan has considerable potential to increase exports and benefit from changing global supply chains. However, it stressed that achieving this potential will require policies that lower business costs and provide greater certainty for investors.
The council expressed hope that Budget 2026-27 will include practical reforms designed to support exporters, attract investment, create employment opportunities, and strengthen Pakistan’s position in international markets.
Industry representatives believe that export growth remains an important contributor to foreign exchange earnings and long-term economic development, making supportive budgetary measures a key area of focus for the sector.
