Pakistan’s export of marble which was increased by 68 percent during last financial year has reduced by over 20 percent during the last 9 month of the current financial year due to the deteriorated law and order situation and severe energy crisis in the country.
The important industry which was eying to fetch at least $1 billion worth exports this year after the increased demands in China and other countries, has started showing alarming position of negative growth as the country has hardly exported the marble of worth $ 26.77 million during July to March 2011-2012 against the export of $ 33.75 million recorded during the corresponding months of last fiscal year.
According to a fresh data provided by marble exporters, over 20 percent decline was recorded during the nine months while further decline was expected in remaining months of the financial year 2012 as security situation in the country especially in Karachi was a big concern for the marble exporters. Besides the hours long power outages which have paralyzed the production and function of the industry were another major reason of loses to the exporters.
According to Sanaullah Khan Chairman, All Pakistan Marble Mining, Processing and Export Industry, the industries in Qasba Colony area of Karachi which remained a flash point during the violence erupted in the city last year making the whole industrial units dysfunctional, have badly affected the over all exports of marble. The ongoing extortion and other criminal activities in the industrial area were also forcing the industry owners to close the units.
He said that it had become a routine that unidentified individuals enter the factories and hand over extortion slips of heavy amounts. In other cases, some people also phone the industrialists seeking huge money. In case of non-compliance these elements resort to firing at the factories.
Though three police stations usually cover Mangophir and its surrounding areas but they failed in providing effective security to the industries. He claimed that many industrialists have stopped visiting their units for security reasons.
Due to the power crisis during the last couple of months, the industry has been pushed further towards at least $ 7 million losses as its total exports by March 2012 has been recorded $ 26.77 million against the $ 33.75 million registered during the corresponding months of 2011.
The country has exported marble worth $ 19 million against the target of $ 30 million during July to January (2011-2012). The export of highly valued marble, under the present situation, was unlikely to meet even the reduced target of $ 60 million during the current financial year.
He feared that exporters will miss the export target of $50 million of marble export in the current fiscal year due to deteriorating law and order and power outages, which is crippling production activities.
Pakistan’s marble exports fetched $45 million in 2010-2011 and in July-February 2011-2012 export stood only $22 million.
According to him, the country could hardly export marble worth $ 35 million to $ 40 million during the year ended June 2012 against the target which has already been reduced to $ 60 million from $ 100 million owing to the acute electricity crisis and poor law and order situation in Karachi.
