Report by Engineering Post
Manufacturing activity had started to make a stray recovery in FY2024 but somehow it still remained below the expected potential due to weak market sentiments, global supply disruptions , and the country’s heavy reliance on imports.
Additionally, rising input costs, a struggling textile sector, lower spending by the federal government, high rate of inflation, and elevated policy rates by the State Bank of Pakistan had further compounded the issue. This was further strained by the political and economic uncertainty prevailing in the country before the general election and subdued global demand.
Briefly, Large Scale Manufacturing (LSM) marginally declined by 0.1 percent during July-March FY 2024 compared to the decline of 7.0 per cent during the corresponding period last year..
Machinery & Equipment’s recorded the highest growth of as much as 61.5 percent followed by Pharmaceuticals 23.2 percent, Wood products 12.1 percent among others.
On the other hand, sectors which recorded negative growth due to varying reasons and factors during the period under report included Automobiles 37.4 percent, Computer, Electronic and Optical Products 16.0 percent, Electrical Equipment’s 7.5 percent among others.
A detailed story will be presented on these pages in subsequent issues of EP, please.
