A cornerstone of Pakistan's economy, the textile sector has faced a slight setback with a nominal decrease of 0.65 per cent in exports during the first eight months (July – February) of the fiscal year 2023-24.
Data from the Pakistan Bureau of Statistics (PBS) shows, textile exports stood at $11.15 billion during this period, compared to $11.22 billion in the corresponding months of the previous fiscal year.
Among the major components, knitwear exports saw a notable decline of 5.69 per cent, reaching $2.90 billion during July – February 2023-24, from $3.08 billion in the same period of the previous fiscal year. Similarly, exports of readymade garments fell by 3 per cent to $2.31 billion, compared to $2.38 billion in the previous fiscal year.
However, there was a modest increase of 2.08 per cent in the export of bed wear, reaching $1.87 billion during the first eight months of the current fiscal year, compared to $1.83 billion in the corresponding period of the previous fiscal year.
On the other hand, the export of cotton cloth declined by 8.71 per cent to $1.26 billion during the same period, from $1.38 billion in the previous fiscal year. Conversely, there was a robust 48 per cent increase in the export of cotton yarn during the period under review.
While the textile exports experienced a significant 19.20 per cent Y-o-Y increase in February 2024, the sector faced a 3.31 per cent M-o-M decline in the same month.
The textile industry is a vital contributor to Pakistan’s economy, providing employment opportunities and generating foreign exchange earnings. The marginal decline in textile exports underscores the need for continued efforts to address challenges and capitalise on opportunities to enhance competitiveness and sustainability in the sector.
Analysts suggest that factors such as global market dynamics, fluctuations in raw material prices, and evolving consumer preferences may have influenced the performance of Pakistan’s textile exports. They emphasise the importance of adopting strategies to diversify export markets, enhance product quality, and invest in innovation to maintain the sector’s growth trajectory.
