Report by Engineering Post
The textile sector remained the backbone of Pakistan’s export performance, accounting for 19.6 percent of total exports during July-March FY 2026. Despite a challenging global trade environment and domestic cotton supply constraints, textile exports remained broadly stable at US $ 13.5 billion, with only a marginal decline of 0.5 percent This resilience was supported by the sector’s shift toward value-added exports, sustained demand from established markets, exchange rate stability, and continued export facilitation measures. Readymade garments exports increased by 3.8 percent to US $ 3.2 billion, while bed wear rose by 0.3 percent to US $ 2.4 billion , mainly due to the higher export volumes, indicating continued demand for Pakistan’s value-added textile products. Knitwear exports declined slightly by 1.1 percent to US $ 3.7 billion, largely reflecting some moderation in volumes amid higher unit prices.
The overall performance was affected by a 10.9 percent decline in cotton cloth exports, reflecting weaker demand for intermediate textile goods in the international markets. On the supply side, flood-related efforts on the cotton crop during the early part of the year also weighed on ginning activity. However, cotton yarn exports increased by 4.4 percent, supported by available raw cotton supplies and demand from export markets. Overall, the sector’s performance duly reflects the continued strength of value-added exports, improved market positioning, and the ability of exporters to adjust to changing global demand conditions. Continued policy support for competitiveness, market diversification, and higher value addition will remain important for sustaining textile export performance, the experts opined on being conducted.
