Pakistan’s trade deficit widens to $39.62 billion in FY2025-26 as imports rise 8.14%, exports fall 5.93%

Pakistan’s merchandise trade deficit widened to $39.622 billion during FY2025-26 as imports increased while exports declined, provisional data released by the Pakistan Bureau of Statistics (PBS) showed.

The cumulative deficit was equivalent to Rs11.140 trillion during July-June FY2025-26.

In June alone, the trade gap reached $4.679 billion, or Rs1.305 trillion, as imports rose sharply and exports fell on both monthly and annual bases.

June trade deficit reaches $4.68 billion

Pakistan exported goods worth $2.252 billion in June 2026, while imports stood at $6.931 billion, resulting in a monthly trade deficit of $4.679 billion.

In rupee terms, exports were recorded at Rs626.686 billion against imports of Rs1.932 trillion.

The June deficit reflected a 27.08% month-on-month increase in imports alongside a 16.25% decline in exports.

Full-year exports fall 5.93% to $30.14 billion

Pakistan’s exports declined to $30.139 billion during July-June FY2025-26 from $32.040 billion in the corresponding period of the previous fiscal year, a fall of 5.93%.

In rupee terms, exports decreased by 5.51% to Rs8.454 trillion from Rs8.948 trillion.

Exports in June fell to $2.252 billion from $2.689 billion in May, marking a monthly decline of 16.25%. Compared with $2.477 billion in June 2025, exports were down 9.08%.

In rupee terms, June exports dropped 16.36% from Rs749.272 billion in May and 10.61% from Rs701.091 billion a year earlier.

Textile exports weaken in June

Knitwear remained Pakistan’s largest export category during June at Rs101.348 billion. However, its value fell 18.43% from May and 21.31% from June 2025.

Readymade garment exports stood at Rs87.768 billion, declining 23.95% month-on-month and 13.88% year-on-year.

Bedwear exports reached Rs58.361 billion, down 26.60% from May and 24.55% from the same month last year.

Cotton cloth exports were recorded at Rs31.209 billion, falling 23.21% on a monthly basis and 10.11% annually.

Towel exports declined to Rs18.462 billion, down 36.84% from May and 25.18% from June 2025.

Made-up articles, excluding towels and bedwear, generated Rs13.557 billion, declining 27.38% month-on-month and 23.38% year-on-year.

Cotton yarn exports, however, increased to Rs17.820 billion, rising 6.49% from May and 1.29% from a year earlier.

Rice and petroleum exports record growth

Exports of non-basmati rice stood at Rs34.558 billion in June, increasing 9.67% from May and 20.70% from June 2025.

Basmati rice exports reached Rs24.943 billion, up 5.24% month-on-month and 81.22% year-on-year.

Petroleum product exports, excluding top naphtha, rose to Rs19.526 billion, increasing 30.56% from May and 81.58% from the corresponding month last year.

Full-year imports rise 8.14% to $69.76 billion

Pakistan’s imports increased to $69.761 billion in FY2025-26 from $64.507 billion in the previous fiscal year, an increase of 8.14%.

In rupee terms, imports rose 8.72% to Rs19.595 trillion from Rs18.023 trillion.

June imports jumped to $6.931 billion from $5.454 billion in May, an increase of 27.08%. Compared with $5.359 billion in June 2025, imports rose 29.33%.

In rupee terms, June imports increased by 26.24% from Rs1.531 trillion in May and 27.41% from Rs1.516 trillion a year earlier.

Oil imports lead June import bill

Petroleum crude was the largest import item in June at Rs230.079 billion. Its value increased 17.66% from May and 74.87% from June 2025.

Petroleum product imports reached Rs215.780 billion, rising 52.35% month-on-month and 49.53% year-on-year.

Liquefied natural gas imports stood at Rs57.117 billion, increasing 55.14% from May but falling 23.81% from a year earlier.

Machinery, vehicles and industrial inputs rise

Electrical machinery and apparatus imports were recorded at Rs91.833 billion, up 27.68% from May but down 30.38% from June 2025.

Plastic material imports reached Rs84.087 billion, rising 41.44% month-on-month and 73.56% year-on-year.

Imports of completely and semi-knocked-down motor cars stood at Rs67.203 billion, increasing 27.07% from May and 55.89% from a year earlier.

Palm oil imports reached Rs67.155 billion, up 4.21% month-on-month and 21.06% year-on-year.

Iron and steel imports increased to Rs65.886 billion, rising 62.08% from May and 64.11% from June 2025.

Raw cotton imports stood at Rs61.375 billion, up 68.66% from May but 2.30% lower than a year earlier.

Iron and steel scrap imports reached Rs55.565 billion, increasing 41.07% month-on-month and 120% year-on-year.