For the fourth consecutive month, Pakistan's textile exports grew by 3 per cent Y-o-Y to $1.3 billion in March 2024 as against $1.26 billion during the same month last year, shows provisional data from the All Pakistan Textile Mills Association (APTMA).
However, despite this monthly improvement, Pakistan’s textile exports for the first nine months of the fiscal year 2023-2024 declined by 0.3 per cent or $0.04 billion to $12.44 billion.
On a monthly basis, exports dropped by nearly 8 per cent compared to February's $1.41 billion.
Textile exports play a crucial role in Pakistan's economy, particularly in addressing foreign exchange shortages. They constitute a significant portion of the country's exports and help bolster its reserves, which are often supplemented by borrowing in foreign currencies.
Recently, APTMA strongly opposed a 223 per cent increase in gas tariffs over the past year, citing its detrimental impact on Pakistan's export-oriented textile industry. The association highlighted concerns that such hikes make it difficult for the industry to compete internationally, leading to a loss of market share.
APTMA urged the federal government to reconsider the steep rise in gas tariffs to ensure the competitiveness of Pakistan's textile exports in the global market. It emphasised the significant contribution of the textile sector, accounting to 60 per cent of the country's total exports, and warned of the adverse effects of the recent tariff increase on the industry's viability.
