Textile exports decline by 5% in April 2024
Monthly Export Performance
In April 2024, textile exports were approximately USD 1.2 billion. Despite a steady increase over the past five months, this represents a 5% decrease compared to March 2024.
| Period | Amount (USD) | Change MoM |
|---|---|---|
| Apr’24 | 1.2Bn | -5% |
Cumulative Export Data
For the first ten months of fiscal year 2024 (10MFY24), total textile exports reached around USD 13.75 billion. This indicates a slight year-over-year (YoY) decrease of 0.2%.
| Period | Amount (USD) | Change YoY |
|---|---|---|
| 10MFY24 | 13.75Bn | -0.2% |
Detailed Breakdown for April 2024
In April 2024, basic textile exports fell to about USD 191 million, an 11% decrease YoY, primarily due to lower cotton cloth exports. Other textile exports also dropped by 4% YoY to USD 145 million. However, value-added exports increased by 4% YoY, reaching around USD 901 million, driven by higher exports of knitwear and ready-made garments, which rose by 1% and 18%, respectively.
| Textile Exports USD (Mn) | Apr’24 | Apr’23 | YoY Change | Mar’24 | MoM Change | 10MFY24 | 10MFY23 | YoY Change |
|---|---|---|---|---|---|---|---|---|
| Textile Group | ||||||||
| Raw Cotton | 0 | 0 | N/M | 0 | N/M | 56 | 13 | 3.2x |
| Cotton Yarn | 54 | 64 | -15% | 44 | 24% | 846 | 637 | 33% |
| Cotton Cloth | 135 | 147 | -8% | 163 | -17% | 1,558 | 1,685 | -8% |
| Cotton Carded & Combed | 0 | 0 | N/M | 0 | N/M | 1 | 1 | -16% |
| Yarn | 2 | 3 | -36% | 2 | -10% | 29 | 36 | -21% |
| Knitwear | 326 | 322 | 1% | 337 | -3% | 3,567 | 3,712 | -4% |
| Bed Wear | 203 | 218 | -7% | 215 | -6% | 2,291 | 2,250 | 2% |
| Towel | 81 | 80 | 1% | 93 | -13% | 865 | 825 | 5% |
| Tents & Canvas | 9 | 14 | -35% | 10 | -9% | 97 | 117 | -17% |
| Readymade Garments | 291 | 247 | 18% | 287 | 1% | 2,888 | 2,905 | -1% |
| Arts & Silk | 28 | 33 | -17% | 30 | -8% | 301 | 343 | -12% |
| Madeup Articles | 53 | 50 | 6% | 59 | -9% | 589 | 585 | 1% |
| Other Textiles | 55 | 54 | 1% | 58 | -6% | 595 | 601 | -1% |
| Total Textile Exports | 1,237 | 1,233 | 0% | 1,299 | -5% | 13,682 | 13,709 | 0% |
March 2024 Production Data
According to the latest data from the Pakistan Bureau of Statistics (PBS), textile production in March 2024 increased by 5% YoY. This growth was driven by higher production of cotton yarn (up 4% YoY), cotton cloth (up 1% YoY), and woolen blankets (up 1.4 times YoY). This increase follows consecutive declines in production since November 2023. However, for the first nine months of FY24, production saw an 8% YoY decline.
Future Outlook
In the first quarter of the calendar year 2024 (1QCY24), exports of cotton yarn to China surged by 66%. This growth is due to the rising demand for Pakistani cotton textiles in China’s export and domestic markets, presenting new opportunities for increased exports.
The textile industry is facing significant challenges due to high energy costs. However, the government plans to reduce tariff taxes for export-oriented industries in the upcoming budget, pending approval from the International Monetary Fund (IMF). This move is expected to positively impact local production and export activities.
Disclaimer:
The information in this article is based on research by TSL Research. All efforts have been made to ensure the data represented in this article is as per the research report. This report should not be considered investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.
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