- Downward development primarily as a result of downbeat value-added sector that’s key to drive development of exports.
- Topline Analysis says textile exports declined primarily attributable to an 11.6% decline in volumetric gross sales.
- Exports declined 6.7% in greenback phrases and seven.3% in rupee phrases as a result of low variety of working days in February.
ISLAMABAD: In a worrying signal, Pakistan’s textile exports fell by 3.1% on a year-on-year foundation and 6.8% on a month-on-month foundation touchdown at $1.2 billion in February of fiscal yr 2020-21.
The Information, citing the Pakistan Bureau of Statistics (PBS), mentioned that exports of knitwear and bedwear declined by 13% and 1.2% year-on-year, respectively. The exports had fallen from 10.3% and seven.3% on a month-on-month foundation.
The downward development was primarily as a result of downbeat value-added sector that could be a key driver of export development. Nonetheless, exports of primary textiles elevated.
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In February, primary textiles exports — cotton yarn, cotton material, non-cotton yarn, and uncooked cotton — elevated 13% month-on-month. Nonetheless, the value-added sector and different textiles witnessed a decline of 11% and 10% respectively.
Textile exports declined primarily attributable to an 11.6% decline in volumetric gross sales, mentioned Topline Analysis.
The agency mentioned that the exports declined 6.7% in greenback phrases and seven.3% in rupee phrases as a result of low variety of working days in February.
“In last six years, February textile exports have fallen in range of 1-10%– except for February 2020,” the brokerage mentioned in a flash observe.
Throughout the primary phase, cotton yarn elevated 40% month-on-month to $120 million due to a 35% rise in exported amount.
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Throughout the value-added phase, knitwear, bedwear, towel and ready-made declined 10%, 7%, 11% and 15% month-on-month, respectively.
Within the first eight months of the present fiscal yr, textile exports rose 6.6% to $10 billion, up 11% in rupee phrases, as orders from India and Bangladesh have been diverted to Pakistan.
The brokerage agency additionally acknowledged that Pakistan has benefitted from the US-China commerce battle as nicely.
Exports had recovered to the pre-COVID month-to-month stage of $2 billion in September, October and November and the restoration have been attributable to low value-added apparels and residential textiles.
Exporters have been warning of falling exports as a result of improve in yarn costs amid a cotton scarcity.