KARACHI - All Pakistan Textile Mills Association Acting chairman Shahzad Ahmed has said the cut in yarn export quota from 50,000 to 35,000 tons per day will not only harm the spinning sector but also the entire textile industry. He was addressing a press conference alongwith a senior member APTMA and former president FPCCI S M Muneer at APTMA House Thursday. This will not only stop yarn export but will also jeopardise the all the letters of credit (L/C) already opened by the foreign buyers of Pakistani cotton yarn, he noted. Shahzad said that mills were producing 240,000 tons of yarn per day, of which 60,000 tons is utilized by value added sector on daily basis, leaving a surplus stock of 160,000 tons. The spinners are exporting from the surplus stock and there is no dearth of cotton yarn in the country. If, at all, the value added sector feels that the prices of locally produced cotton yarn is high, it can import cotton yarn as its duty free import is allowed. S M Muneer said that APTMA has convened a general body meeting of next week which will decide the future line of action against governments unilateral decision. Among others, the general body will also consider going to court against the decision, he added. We wish that both spinning and value added sector flourish in the country as they are part and parcel of textile industry, the largest export earner for the country, he added. He maintained that if the government did not lift this quota restriction, the spinners will close down their factories and lay off thousands of workers. He made it clear that APTMA does not want any interference in yarn business as cotton trade is duty free. Muneer said that for the first time, spinning sector is getting good business in the last three years and the government should not impose its unilateral decision. He said mills have invested $ 6 billion for the upgradation and modernization in the last several years and if they are stopped from exports the amount of default will soar again.