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Sports goods industry makes niche in world market

SIALKOT: There are over 3,000 small and medium sized sports goods industrial units, and some 50 well established industries functioning in and around Sialkot.

The sports goods industry of Sialkot, producing quality goods mainly for foreign markets, has over a century old history.

It is a labour-intensive industry providing direct and indirect job opportunities to about 60,000 workers, while sub-contracting of work on piece rate is a common practice, resulting in more jobs for people.

A major portion of the total production comes from cottage and small scale manufacturing units. However, some units have joint venture collaboration with foreign manufacturers, which benefit technical and marketing support to their foreign partners.

In 2002, sports goods export from Sialkot worth to Rs 11,039 million, indicating a 16.91 percent increase in foreign exchange earnings as compared to the previous year.

Presently, Pakistan is competing with India, Japan, Taiwan and South Korea in international markets. India has an advantage of cheap labour and raw material, whereas countries with semi-automatic mechanized units can produce low-cost and inexpensive sports gear such as metal rackets and cricket bats etc.

Since the entry of Japan, Taiwan and Korea, the industry is tilting towards mechanization and the use of modern equipment, which has resulted in tougher competition for manufacturers and exporters of sports goods in Sialkot.

It speaks volumes for the quality of sports goods of Sialkot that it continues to compete in the global market without a fully mechanized industry, relying mostly on old and traditional production techniques.

Soccer ball industry of Sialkot was alleged some time back by foreign print and electronic media to involve child labour in the stitching of balls. Prompt action was taken by Sialkot Chamber of Commerce & Industry (SCCI) to tackle the situation and protect the industry.

The SCCI through the corporate sector signed an agreement at Atlanta, Georgia, USA with ILO-IPEC and UNICEF in February 1997 to purge the soccer ball industry from the stigma of child labour, through progressive implementation of Sialkot project with emphasis on providing social protection to children and their families.

The children were provided proper schooling under the programme. The programme met with unprecedented success due to unstinted participation of manufacturers who were invited to join the programme on voluntary basis.

The success achieved in this programme is evident from positive remarks appearing, every now and then, in international print and electronic media, and even the former US President, Bill Clinton in his address to the ILO convention at Geneva in June 1999, specifically quoted the Sialkot project as a model of success, advising others to replicate it.

While the sports goods industry has reason to be proud of its achievements, SCCI sources said it was high time for the industry to modernise its base if it wants to remain competitive, to retain and increase its share in the world markets —APP

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