Big industry output grows 11.09% YoY in March 2026

May 05, 2026 (MLN):  Pakistan's large-scale manufacturing sector maintained its growth trajectory in March 2026, with the Quantum Index of Manufacturing (QIM) reaching 124.89, reflecting continued industrial momentum driven by strong performances in automobiles, food, and garments.

According to provisional data with base year 2015-16, Large Scale Manufacturing Industries (LSMI) output grew 11.09% year-on-year (YoY) in March 2026, while posting a 5.19% month-on-month (MoM) decline compared to February 2026.

On a cumulative basis, the sector recorded 6.48% growth during July–March FY26, with the QIM averaging 123.03, up from 115.55 in the same period last year.

The automobile sector continued its growth trajectory with a robust 61.35% increase in March and a cumulative 61.66% surge during July–March FY26.

Sugar staged a remarkable monthly surge of 384.90% in March, contributing to a strong 30.97% cumulative expansion over the nine-month period.

Garments maintained steady momentum with 1.79% monthly growth and a 6.60% cumulative expansion, while petroleum products grew 3.39% in March, sustaining a strong 10.92% cumulative gain.

Growth of Major Manufacturing Items

Several sectors faced headwinds during the month. Iron and steel continued its decline, falling 11.46% in March and 6.33% cumulatively.

Fertilizers contracted 7.55% in March, edging into negative cumulative territory at -1.02%. Cement slipped 6.64% on a monthly basis, though the sector retained a solid 9.13% cumulative gain. Cotton yarn also dipped 1.34% in March.

Sectoral Contributions

The main contributors toward the overall 6.48% cumulative growth were food (1.79 percentage points), automobiles (1.50), garments (1.08), petroleum products (0.79), cement (0.50), electrical equipment (0.30), furniture (0.26), other transport equipment (0.24), tobacco (0.18), and textiles (0.13).

Conversely, pharmaceuticals (-0.31), iron and steel products (-0.27), chemicals (-0.11), and machinery and equipment (-0.03) weighed on overall growth.

The sustained growth momentum in Pakistan's manufacturing sector reflects improving economic conditions and strengthening domestic demand, particularly in the automobile and food processing industries, even as certain capital and intermediate goods sectors continue to face pressure.

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