Pakistan’s textile exports clocked in at $1.4 billion in February 2025, showing a flattish trend year-on-year (YoY) primarily driven by a 20% decline in basic textiles, while down 16% month-on-month (MoM).
This marks the first flattish YoY trend after six consecutive months of growth, according to Topline Securities.
The 16% MoM drop is the largest in nearly four years, with the previous similar decline occurring in May 2021.
The flattish YoY trend was primarily driven by a 20% decline in basic textiles, while the MoM decline was seen across all segments. Value-added textiles saw a 17% MoM drop, basic textiles fell 13% MoM, and other segments declined 14% MoM.
In PKR terms, textile exports clocked in at Rs395 billion,flattish YoY while down 16% MoM. Value-added segment saw a 6% YoY rise while a 17% MoM fall. Under the value-added segment, knitwear contributed mainly to both MoM and YoY effects. Knitwear was up 9% YoY while down 22% MoM to $366 million during February 2025.
Other value-added segments such as bedwear, towels, and readymade garments recorded a YoY increase of 2%, 3%, and 7%, respectively, while posting a MoM decline of 14%, 5%, and 17% to US$250mn, US$97mn, and US$329mn, respectively.
Basic textiles witnessed a decline of 20% YoY and 13% MoM to $203 million in February 2025, where major decline came from cotton yarn which was down 34% YoY and 21% MoM to $51 million in February 2025.
During the first eight months of the ongoing fiscal year (8MFY25), Pakistan recorded textile exports of $12.2 billion, a 9% YoY growth (7% YoY growth in PKR terms). Basic textiles fell 15% whereas value-added rose by 16% YoY, with readymade garments contributing a 20% YoY rise.
Topline Securities projected that Pakistan’s textile exports are expected to reach $18-19 billion by the end of FY2024-25 as compared to $16.7 billion in FY24.
As per a news report, the All-Pakistan Textile Mills Association (APTMA) has urged the government to provide gas at RLNG ring-fenced prices without cross-subsidies and allow direct RLNG imports to maintain textile export competitiveness.
With gas prices surging to $15.38/MMBtu, the textile sector faces a major cost disadvantage against regional competitors. Addressing grid constraints and ensuring gas supply for efficient cogeneration plants are crucial for the industry’s sustainability.