Japan will support Pakistan in boosting the value added textile sector's exports and will provide assistance for product diversification, international marketing and enhancing capacity building of garment institutes. In the early 1990s, Japan provided similar assistance, which yielded a positive impact on the quality and productivity of the textile sector.

Japan and Pakistan have discussed parameters for the project of skill development and market diversification for the garment industry. Japan would facilitate Pakistan’s garment sector especially small and medium enterprises in the field of international marketing practices along with compliance requirement, marketing and product diversification.

Japan coordinated with Pakistan’s textile sector in 1993 and helped upgrade the National Textile University, Faisalabad. The new project will open a new era of cooperation between the two countries and will provide technical assistance in different fields of the textile sector. The project would facilitate in achieving goals and objectives set forth in the Textile Policy 2014-19. Japanese companies are already working in health, education and energy sectors of Pakistan.

But a high rate of import duty deters Japan from importing textiles from Pakistan. Japan is the world’s largest importer of textiles and prefers Sri Lanka and India with a relatively low ratio of taxes.