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19 Pakistan Garment Industry Statistics and Trends

Many of the annual statistics offered for the Pakistan garment industry are based on the 2010-2011 manufacturing fiscal year. Official statistics from later years have not been released by the government. Private reporting may offer insights into the industry in 2012 to the present; however, no official data has been released to correlate any private insights.

Much of the garment industry in Pakistan is based in the private sector. They were originally in the public sector, but with the inefficiencies found in their operations, the government was forced to privatized. In 2017, there were only 3 public-sector firms still operating within the industry.

Pakistan is the third-largest consumer of cotton in the world today, as well as the fourth-largest producer of cotton.

In many ways, this is an industry that is in crisis. A combination of poor cotton crops, aging equipment, and inadequate quality controls is putting a lot of pressure on the revenues this industry is still able to generate.

Fascinating Pakistan Garment Industry Statistics

#1. About 15 million people are directly employed by the garment industry in Pakistan. About 38% of the labor force for manufacturing is employed by the garment industry, with another 20% of the manufacturing labor force working in the textile industry. (Business Week)

#2. The garment industry in Pakistan is responsible for more than 8% of the national GDP each year. The value of exports for the industry is about 54% of total export values, with two-thirds of all garments being exported. (Business Week)

#3. The textile sector in Pakistan is about 2% of the world’s textile market. The average worker within the industry earns a minimum wage of $82 per month. (Horizon Pak)

#4. There are currently about 5,000 production units currently active within the Pakistan garment industry today. (Textile World Asia)

#5. In 2013, the total value of garment exports from Pakistan was $12.9 billion. About $3 billion in exports went to the United States, while $6.1 billion went to Europe. (The Express Tribune)

#6. In 2010-11, about 60 million square meters of blended cloth was produced by the Pakistan garment industry. There was also 572 million square meters of gray cloth, 87.2 million square meters of bleached cloth, and 309.1 million square meters of dyed and printed cloth. (All Pakistan Textile Mills Association)

#7. Total production by the industry in 2010-11 was 9.018 billion square meters. That was the most in total cloth production ever achieved by the industry. In 1998-99, the industry first reached 4.3 billion square meters. (All Pakistan Textile Mills Association)

#8. In 2010-11, more than 2.33 million metric tons of yarn was produced by the Pakistan garment industry. Production levels of yarn have doubled for the industry since 1991. (All Pakistan Textile Mills Association)

#9. About 18% of the yarn produced in Pakistan is made available to the export market. Since 1992, yarn exports have been declining steadily, when 45% of yarn was made available for export. (All Pakistan Textile Mills Association)

#10. About 2.5 billion kilograms of cotton are consumed by the Pakistan garment industry each year. Another 1.03 billion kilograms of fibers are consumed as well. In 2012-13, these figures represented a 3.9% increase in raw material consumption. (All Pakistan Textile Mills Association)

#11. The Pakistan garment industry has consumed more than 1 billion kilograms of cotton each year since 1990-91. The industry began consuming 2 billion kilograms of cotton annually in the 2004-05 fiscal year. (All Pakistan Textile Mills Association)

#12. In 2012-13, there were 526 active units in the garment industry, operating almost 12,000 spindles. This reflected a growth of 1.5% from the year before. There were also 214 rotors in operation. (All Pakistan Textile Mills Association)

#13. The Pakistan garment industry may have up to 225,000 looms available within the power loom sector. Many of the units are aging, however, and up to 60% of them are not functioning on any given day. (All Pakistan Textile Mills Association)

#14. About 14,000 looms are currently installed in integrated weaving mills within the industry. (All Pakistan Textile Mills Association)

#15. The finishing segment of the garment industry offers about 670 units, most of which are independently operated. Integrated units report a capacity utilization of just 35%. (All Pakistan Textile Mills Association)

#16. Pakistan is the eighth-largest exporter of textile products in Asia. It also contributes 5% of the global spinning capacity, placing it behind China and India in this regard. (The Express Tribune)

#17. The total share of the global textile trade for the Pakistan garment industry is less than 1%, despite the fact that it is responsible for about 30% of the direct employment opportunities found in the country. (The Express Tribune)

#18. The average firm providing products to the industry operates with 50 machines or fewer. About 70% of the units found within the industry are classified as being unorganized, found in flats, homes, or small shops. (Pakistan Textile Journal)

#19. Pakistan spends the least amount domestically on apparel in the world today for a major emerging economy. Households spend an average of just $35 on apparel per year. In comparison, Australians spend over $1,100 per year, Canadians spend about $900 per year, and Americans spend $725 per year. (Pakistan Textile Journal)

Pakistan Garment Industry Trends and Analysis

There are several acute problems which are affecting the Pakistan garment industry. There are serious skill gaps found in the marketing of garments from the industry and the management of production. There are also frequent lapses in quality, which reduces the demand for exports.

At the same time, there is a continued threat of conflict within the country which affects the overall employment picture. Even though the garment industry is responsible for a vast majority of manufacturing employment, Pakistan is only producing at 37% of China’s capacity and 46% of India’s capacity.

For many years, the local economy has relied on low value-added products. It must convert to higher value-added products to develop additional export markets. If this, combined with a stronger currency, becomes possible, the industry could see annual growth rates reach 15% or more.

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