Growing at a modest rate of 0.93 per cent, Pakistan’s textile and apparel (T&A) exports reached $16.55 billion in the FY 24 from $16.50 billion the previous year, as per the latest data from the Pakistan Bureau of Statistics (PBS). 

This marginal increase underscores the challenges faced by the sector including new taxation measures and rising energy costs, which may impact its competitiveness compared to regional counterparts.

Recently, the government raised the tax rate on exporters' personal income for the fiscal year 2024-25, a move that industry analysts believe will affect future export figures.

According to PBS data, Pakistan’s textile exports declined by 3.91 per cent Y-o-Y to $1.41 billion in June 2024 from $1.47 billion in June 2023, ending a five-month streak of growth. On a M-o-M basis, Pakistan’s textile exports also fell by 9.23 per cent in June 2024.

Within the textile sector, specific categories showed varied results for FY24. RMG exports increased by 2.05 per cent in value and 1.99 per cent in volume during the year, while knitwear exports decreased by 0.66 per cent in value but increased by 41.44 per cent in volume. Bedwear exports grew by 4.12 per cent in value and 15.27 per cent in volume to reach $2.8 billion. 

Towel exports increased by 5.55 per cent to $1.06 billion in value and 14 per cent in volume. However, cotton cloth exports declined by 7.7 per cent to $1.866 billion in value, despite a 16.15 per cent increase in quantity.

Conversely, the import of textile machinery plummeted, indicating a reduction in industry investments towards expansion or modernisation.