ISLAMABAD — Pakistan’s gold jewellery export sector has encountered its worst crisis in 50 years following the suspension of SRO 760, leading to a complete stoppage of shipments and threatening millions of dollars’ worth of orders. The suspension, effective from May 6, 2025, for a 60-day period, has resulted in a direct loss of $15 million as not a single gram of jewellery has been shipped in the past four months. The suspension was initially aimed at addressing regulatory and tax concerns and has since been in place following slow and delayed compliance by the industry.
According to industry representatives, over $60 million worth of export orders have been deferred, and foreign buyers are now threatening legal action against Pakistani exporters for failing to comply with delivery deadlines. The suspension of the SRO has undermined the credibility of Pakistani exporters, with foreign buyers shifting their orders to competitors in India, the UAE, and other regional markets.
The Pakistan Gems Jewellery Traders and Exporters Association has warned that this disruption is eroding the market that took 50 years to build. Exporters also reported that nearly 50 kilograms of advance gold, worth $6 million, is stuck in Pakistan, as the suspension has blocked both the fulfilment of orders and the return of the advance gold to clients.
A letter from TKR Gold and Gems Trading LLC, one of the UAE’s leading jewellery importers, highlighted the gravity of the situation. The company, which imports over 30 kilograms of jewellery from India monthly, expressed frustration with the halted exports from Pakistan, stating that they would cancel agreements with Pakistani companies if the issue is not resolved.
The crisis is particularly damaging to Pakistan’s jewellery sector, which, though small in comparison to regional competitors, has struggled to establish a foothold in high-value markets such as the UAE, UK, US, and Gulf countries. Analysts fear that once foreign buyers turn to Indian suppliers, regaining lost market share will be nearly impossible.
The Pakistan Gems Jewellery Traders and Exporters Association has called for the immediate restoration of SRO 760, urging the government to act quickly to prevent further damage to the sector. They warned that without the urgent resumption of exports, Pakistan stands to lose millions in export revenue and its hard-earned reputation in global markets.
Industry experts note that the suspension, initially aimed at addressing regulatory and tax concerns, has had the unintended consequence of crippling the export pipeline. They suggest that reforms should target loopholes without harming legitimate exporters.
