Pakistan's textile industry struggles amidst job losses, economic crisis

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AFP reported. "When you lose your job, your life comes to a close," the 43-year-old from Lahore told AFP, adding, "We've been working in factories for years... the day you get sacked, the story ends there." Amidst the global economic slowdown triggered by the war in Ukraine and the increase in energy expenses, Pakistan's industrial manufacturing sector has also been adversely affected, mirroring the situation in other parts of the world.

The textile industry, which constitutes a significant portion of Pakistan's exports (60 percent), faces additional challenges due to the country's struggling economy and prolonged periods of political instability. These factors have compounded the difficulties faced by the textile sector in Pakistan. During the later stages of the COVID-19 pandemic, Pakistan's industrial sector experienced a boost as it was granted more freedom from restrictions earlier than its regional competitors, India and Bangladesh.

Additionally, the industry received government support in the form of financial aid and reduced energy costs. Despite these favourable conditions, in the period of 2022-2023, Pakistan witnessed a decline in its textile exports by 15 per cent, resulting in a total value of $16.5 billion. "Two years ago, we were on a very high growth trajectory...

we were confident that our exports this year would go to $25 billion," said Hamid Zaman, managing director of Sarena Textile Industries. "Unfortunately, when you have political instability and things are not clear, and the policies of the government are reversed, this whole thing has gone into a tailspin," he told AFP. In April of the previous year, Pakistan plunged into political turmoil when Imran Khan was removed from his position as prime