KARACHI: Pakistan’s textile exports for May 2021 clocked in at $1.06 billion, a decline of 20 per cent month on month (MoM) both in US dollar and Pak-rupee terms.
According to market analysts, it is mainly attributable to an estimated 16 per cent MoM drop in volumes due to extended Eid holidays amidst the third wave of COVID-19 outbreak. The decline in textile exports was witnessed across all categories, where key drops were witnessed in bed wear (-24% MoM) and readymade garments (-20% MoM) in value terms.
Volumes of readymade garments although increased by 10 per cent MoM in May 2021, suggesting a drop in price in the category during the month, analysts said.
Pakistan textile exports are up by 41 per cent year on year (YoY) in May 2021, mainly due to the low-base effect as both global and local operations were severely affected by the COVID-19 pandemic.
Textile exports have increased by 19 per cent YoY to reach an all-time high of $13.7 billion (up 21% YoY in PKR terms) during the first 11 months of the financial year as Pakistan continues to grab more orders as local operations of other regional countries are still affected by COVID-19 outbreak.
The analysts expect that Pakistan’s textile exports will reach $15 billion in 2020-21, which will be the highest in the country’s history. The previous highest textile exports were recorded back in 2010-11 at $13.78 billion.
