KARACHI: Exports of textiles climbed by 25% in the first seven months of 2021-22, according to figures issued on Wednesday by the Pakistan Bureau of Statistics (PBS).
During the months of July through January, the country exported $10.9 billion worth of textile items, according to PBS. Compared to the same month last year, textile exports brought in $1.55 billion in revenue.
The trend line is going downhill. For the second month in a row, textile exports fell over the preceding 30-day period in January. January’s monthly overseas sales fell 4.43 percent from December. Similarly, the month-on-month decline in December was 6.45 percent.
Muhammad Saad Ziker, an analyst at Topline Securities, attributed the monthly fall in textile exports to weaker performance in value-added export categories, particularly knitwear (-12 percent) and ready-made garments (-9 percent) (-4pc).
Textile exports in July-January totalled Rs1.86 trillion, a 30 percent increase over the same period last year, thanks to a 4 percent devaluation in the rupee versus the dollar.
This fiscal year, value-added textiles have been the primary engine for exports, said Mr Ziker, with knitwear making up the greatest portion (33%) followed by ready-made clothing (22%), and bed wear (19%). Exports have risen because of increased volumetric growth and improved price, as per him.
He added that “In the years ahead, we estimate textile exports to remain strong in the range of $18.5-$19 billion.” There would be an increase in orders and a rise in textile exports because of the ease in European lockdowns.
Pakistan’s trade deficit in 2021-22 has reached $28.9 billion, up 92.5 percent from the previous year. There was a 107 percent increase in petroleum product imports in the first seven months of the year, totalling $11.7 billion.
During the same time period, transportation-related imports increased by 88% to $2.6 billion. Agribusiness and other imports rose by 91% to $9 billion per year.
