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Pakistan’s Textile Exports Gain Momentum with New Policy Push

29 August, 2025
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    Textiles have always been Pakistan’s anchor industry. From cotton picking to modern stitching floors, it drives exports, supports millions of families, and keeps foreign exchange flowing into the country. For decades, it has carried this responsibility, and now fresh momentum is gathering once again.

     

    Government prepares five-year textile policy to boost exports

    That shift came into focus when Arab News reported that the government is close to announcing a five-year Textiles and Apparel Policy alongside a wider National Industrial Policy. Commerce Minister Jam Kamal Khan stated that the goal is straightforward: remove obstacles, provide exporters with certainty, and ensure decisions align with industry needs. In a sector often weighed down by unpredictable rules, even the promise of stable, long-term planning is a major change.

     

    Textile sector’s role in Pakistan’s GDP and jobs

    The numbers show why this sector is central. The Economic Survey of Pakistan by the State Bank of Pakistan estimates that textiles account for approximately 8.5 per cent of GDP, employing around 15 million people, roughly two out of every five industrial workers. In plain terms, it is not just an export machine. It is the country’s largest employer in manufacturing and a backbone for household incomes across Punjab and Sindh.

     

    Textile exports rise to $13.6 billion in nine months

    Exports have also begun to reflect this renewed energy. Figures from the Pakistan Bureau of Statistics, shared by Business Recorder, show textile exports reached $13.613 billion between July and March of FY 2024–25, a 9.38 per cent increase compared with $12.445 billion in the same period last year. Overall exports during these nine months rose to $24.719 billion, up 7.82 per cent from the previous year.

     

    March 2025 data shows strength in value-added goods

    March brought further confirmation. Exports for the month totalled $2.646 billion, rising 6.27 per cent over February 2025 and 3.08 per cent compared with March 2024. Within textiles, the monthly group value climbed to $14.299 billion, slightly above February’s $14.132 billion, showing a 1.18 per cent increase on a month-on-month basis. Value-added segments performed strongly, with knitwear earning PKR 108 billion, readymade garments PKR 89,987 million, and bed wear PKR 71,633 million.

     

    National Industrial Policy to drive future competitiveness

    What comes next could be even more important. The upcoming National Industrial Policy is expected to support new projects, public-private partnerships for land leasing, and a one-window investor system. For textiles, that means less red tape, easier expansion, and a clearer path to modernisation.

     

    A turning point for Pakistan’s textile industry

    Textiles have carried Pakistan for decades, but the sector now stands at a turning point. With exports climbing, new policies taking shape, and government and industry finally working in step, the outlook is brighter than it has been in years. If this momentum continues, textiles will remain the country’s strongest link to global markets and its best hope for driving a stronger economy.

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