The sector remains broadly flat in cumulative terms, but March’s sharper annual decline shows Pakistan’s largest export industry is still struggling to regain momentum.
Pakistan’s textile exports fell 0.5% year on year to $13.545 billion during July–March FY2025–26, according to official trade data released by the Pakistan Bureau of Statistics. The decline was modest in cumulative terms, but it reinforced the broader picture of stagnation in the country’s biggest export sector.
The March reading was weaker. Textile exports dropped to $1.328 billion in March 2026, down 7.06% from $1.430 billion in March 2025, although they were up 1.36% from $1.311 billion in February 2026. That monthly rise suggests some short-term stabilization, but the annual decline shows the sector is still under pressure.
The export mix was uneven. Ready-made garments rose 3.77% to $3.208 billion, while bedwear edged up 0.25% to $2.380 billion. Other segments posting gains included cotton yarn, up 4.42% to $562.16 million, and other textile materials, up 5.47% to $592.24 million. But those gains were offset by declines in larger and commercially important categories such as cotton cloth, which fell 10.94% to $1.268 billion, knitwear, down 1.14% to $3.742 billion, and towels, down 2.10% to $801.5 million.
The wider trade picture remains difficult. PBS says Pakistan’s total exports reached $22.742 billion in July–March FY2025–26, down 7.99%, while imports rose to $43.215 billion, widening the cumulative trade deficit to $20.473 billion over the same period. For July–February FY2025–26, the deficit stood at $25.101 billion.
The practical takeaway is that Pakistan’s textile industry is not in free fall, but it is also not delivering the growth needed to materially strengthen the country’s external balance. Garments are holding up better than some traditional segments, yet the sector as a whole remains stuck in a low-growth pattern.
