‘‘Summary on current textile industry

of Pakistan’’

Assignment

Submitted By:

Ahsan Aziz Sheikh

Contents

 TEXTILE INDUSTRY OF PAKISTAN

 Performance of Textile Industry

 RESAONS FOR DECLINE IN GROWTH

 CONCLUSION
 TEXTILE INDUSTRY OF PAKISTAN

Pakistan’s textile industry is a major contributor to the

national economy in terms of exports and employment.
Pakistan holds the distinction of being the world’s 4th
largest producer of cotton as well as the 3rd largest
consumer in the world.

Textile sector is considered as the backbone of the

economy. On the other hand, it is facing tough
competition in the international market due to increase in
cost of production, which is making it less competitive
than the neighbouring countries India, Bangladesh &
China.
TEXTILE SECTOR’S CONTRIBUTION TO THE
ECONOMY OF PAKISTAN:

Exports 60%
Manufacturing 46%
Employment 38%

Source: Economic Survey of Pakistan

Performance of Textile Industry

Textile is the most important manufacturing sector and

has the longest production chain, with inherent potential
for value addition at each stage of processing, from
cotton to ginning, spinning, fabric, dyeing and finishing,
made-ups and garments. The sector contributes nearly
one-fourth of industrial value-added and provides
employment to about 40 percent of industrial labour
force. Barring seasonal and cyclical fluctuations, textiles
products have maintained an average share of about 60
percent in national exports
PERFORMANCE CHART:

Export of Pakistan textiles last Six years

Years export
2012-13 54%
2013-14 55%
2014-15 57%
2015-16 60%
2016-17 61%
2017-2018 60%
(jul- feb)
Source: Ministry of Textile
 RESAONS FOR DECLINE IN GROWTH

 Lack of Research and Development in Cotton

Sector
 Lack of Modernize equipment
 Finance bill to burden industry further
 Increasing cost of production
 Internal issues pose a Larger Threat for Pakistan’s
Textile Industry
 Effect of inflation
 Energy crisis
 Electricity crisis
 Gas shortage
 Removal of subsidy on textile sector
 Lack of new investment
 Raw material prices
 Export performance of textile sector
CONCLUSION

Textile industry is the backbone of the Pakistan’s

economy. The textile industry of Pakistan plays an
important role in earning foreign exchange,
providing employment to the country. Pakistan’s
textile industry is going through one of the toughest
periods in decades. Our textile sector needs to
capitalize on the new emerging opportunities by
adhering to global best practices, adapting rapidly
changing technologies, better supply chain
management while trying to reach global value
chains.