Pakistan’s textile exports reached $1.5 billion in December 2024, marking a 6% year-on-year (YoY) increase and a 1% rise month-on-month (MoM), according to a report by Topline Securities. This is the fifth consecutive month of YoY growth, primarily attributed to the low base effect. In Pakistani Rupee (PKR) terms, textile exports stood at Rs. 411 billion, up 4% YoY and 1% MoM.
The growth in exports was largely driven by the value-added segment, particularly readymade garments, which saw a 20% YoY and 9% MoM increase to $357 million in December 2024. Other value-added categories also posted strong YoY growth, including:
- Knitwear: Up 7% YoY to $391 million
- Bedwear: Up 13% YoY to $256 million
- Towels: Up 1% YoY to $88 million
In contrast, basic textiles experienced a decline, with exports falling 16% YoY and 2% MoM to $215 million. Cotton yarn exports saw the steepest drop, down 34% YoY and 22% MoM to $63 million.
The art, silk, and synthetic textile category recorded a significant increase, rising 22% YoY and 28% MoM to $38 million, the highest in 2.5 years.
During the first half of FY25 (1HFY25), Pakistan’s textile exports totaled $9 billion, reflecting a 10% YoY growth (+6% YoY in PKR terms). The value-added segment rose by 17% YoY, with readymade garments leading the way with a 22% YoY increase. Basic textiles, however, continued to decline during this period.
The recovery in textile exports is attributed to several factors, including a higher cotton crop last year, the diversion of orders to Pakistan due to internal conflicts in Bangladesh, and tariffs imposed on China. Analysts project that Pakistan’s textile exports could reach $18-19 billion in FY25, compared to $16.7 billion in FY24.
