Pakistan’s textile industry is on a road towards gradual recovery following COVID-19 destruction, with cotton imports increasing sharply. Pakistani textile exports rose 16 percent and 9 percent on a monthly basis in September and October 2020 compared with the big decline due to torrential rain in August 2020, explains Insight Securities’ Analyst Muhammad Saad Ziker.
The analyst pointed to the much-needed growth of imported cotton and human-made yarn in this research paper. According to the 2025 textile agenda, the Government is also pressing hard for export development since it is aiming to bring it up to $50 billion by 2030. The 5% cotton import regulatory duty has been scrapped, subsidized electricity is underway for the industry and loans under the LTFF have been facilitated. On account of the large export orders delivered by May 2021, a portion of the value-added is projected to increase.
The Senior Vice Chairman of the Sindh Abadgar Board, Mahmood Nawaz Shah, stressed that the climate and atmosphere in Pakistan are the best for cotton production. In addition to the producers, firms involved in the ginnery and related industries will also face the high price of imports, Shah added.