Pakistan’s textile exports drop 6pc to $12.5bn in FY20

February remained the best performing month with 17pc growth in export, whereas a decline of 36pc was witnessed in May

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ISLAMABAD: Pakistan’s textile and clothing exports posted a negative growth of over six per cent to $12.526 billion in the fiscal year 2019-20, as compared to $13.3 billion in the corresponding period of 2018-19.

According to data released by the Pakistan Bureau of Statistics (PBS), readymade garments exports dipped 3.81pc in value and 10.07pc in quantity during July-June FY20, while those of knitwear dropped 3.64pc in value and 10.11pc in quantity.

Bedwear exports posted a negative growth of 4.91pc in value and 2.31pc in quantity.

Meanwhile, towel exports fell 6.52pc in value and 6.39pc in quantity, while those of cotton cloth dipped by 12.94pc in value and 17.66pc in quantity.

However, exports are expected to revive in July as exporters have resumed production to honour international orders.

As per the PBS data, the fall in export proceeds from the sectors improved on a month-on-month basis owing to a recovery in the international order. Compared to the 36.5pc decline in May 2020, the exports in June declined by 5.43pc over the year last year.

The easing of lockdown in the North American and European countries — top export destinations for Pakistani textile goods — will help revive the sinking exports. The Covid-19 has collapsed the demand for the country’s exports during the last five months.

Maximum piled up containers at ports since March 22 were mostly cleared in the month of June. Moreover, the government also opened up exports on the land route to Iran and Afghanistan in June. 

It was only in February when the textile and clothing exports jumped nearly 17pc on a year-on-year basis. This growth was reported after a long time as the past few years had been marred by single-digit increases.

Among primary commodities, cotton yarn exports dipped by 12.49pc while yarn other than cotton by 23.81pc, made-up articles — excluding towels — by 13.16pc, and raw cotton 16.64pc. Exports of tents, canvas and tarpaulin increased by a massive 5.95pc during the months under review.

On a monthly basis, exports of textile and clothing posted a negative growth of 5.43pc to $959.130 million in June 2020 as against $1.014bn over the corresponding month of last year.

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