The textile sector in Pakistan, a significant component of the country’s economy, saw changes in the first quarter (Q1) of the fiscal year 2023-24. According to data from the Pakistan Bureau of Statistics (PBS), textile exports, a significant economic contributor, fell by 9.95% compared to the same time the previous year.
Various textile goods demonstrated varying trade trends in this quarter. Raw cotton exports were among the success stories, increasing by 12.08% from $5.908 million to $6.621 million.
Cotton yarn exports also showed promising growth, increasing by 33.50% to $315.404 million in the current year from $236.263 million the previous year.
Although, Cotton cloth, knitwear, and cotton fabric did not suffer the same fate, with declines of 18.15 percent, 15.83%, and 18.15 percent, respectively.
Cotton fabric exports, fell from $580.524 million to $475.187 million, while knitwear exports fell from $1,320.895 million to $1,111.820 million.
Similar drops noted in exports of bed linens, tents, canvas, and tarpaulin, as well as ready-made clothes, with decreases ranging from 8.24% to 10.22%.
According to additional statistics, Exports of other textile materials fell by 5.25%, art, silk, and synthetic fabrics fell by 23.08%, and made-up items fell by 5.41%.
It is worth noting that the merchandise trade deficit decreased significantly in the first quarter of the current fiscal year compared to the same period the previous year. The trade deficit from July through September (2023-24) was $5.289 billion, a considerable decline from the $9.159 billion deficit in the same period in 2022-2023.
In this period, Exports dropped by 3.78%, to $6.899 billion, down from $7.170 billion the previous year. Import numbers likewise showed a huge decrease of 25.36%, falling to $12.188 billion from $16.329 billion the previous year.
These shifts in the trade dynamics create concerns for Pakistan’s textile sector future and the country’s economy.
