Pakistan's home textile makers are frustrated with the soaring cost of business to compete with highly incentivized Indian towel manufacturers in the global markets. The country's towel export continues to remain stagnant at $317.357 million during July-November 2017, which textile makers blame the government for not paying refunds that crippled exporters' financial backups.

The issue of a six percent DLTL and other refunds that the government holds up have hurt the financial supplies of towel makers and other nations are now strong competitors for Pakistan. Comparatively India received huge government support on all grounds to expand their exports to the global markets and Pakistan is even unable to compete with its products against those produced by Bangladesh. In term of towel quantity export, Pakistan exported 73,670 metric tons in July-November 2017 from 76,962 metric tons in July-November 2016, down by 2 per cent or 3292 metric tons.