Textile: Exports soar by 86%, imports fall 20%, MoM in May’20

June 17, 2020 (MLN): The COVID-19 pandemic led to a decrease in the trade volume of textile exports by 6.06% to $ 11.56 billion during Jul-May FY20 when compared to $ 12.31 billion recorded during Jul-May FY19.

According to the latest data issued by the Pakistan Bureau of Statistics on export receipts by commodities, the textile products remained the major exportable goods for Pakistan as it shares 58.42% in total exports during Jul-May FY20. Moreover, it is the crucial sector as it is a vital source of employment and production.

The textile group accounted for 5.71% of the total imports during Jul-May FY20 as per the data released by the Pakistan Bureau of Statistics, showing a decline of 20.16% YoY to clock in at $2.33 billion.

On the exports front, within the textile group, the major exportable goods include Knitwear, Readymade Garments, Bed wears, and Cotton Cloth.

The exports of Cotton Cloth, Knitwear, Bed Wears, Readymade Garments went down by 12.49%, 3.62%, 4.96% and 2.95%, YoY, to $1.699 billion, $2.573 billion, $1.984 billion and $2.367 billion respectively during the period under review.

On a year-on-year basis, the textile group’s exports were recorded at $751 million, showing a significant decline of 36.65% when compared to $1.185 billion of May 2019. This fall in export volumes is attributed to drying up of orders during the last quarter of FY20.

However, on a sequential basis, the export of the textile group showed a staggering increase of 86%, MoM, as the exports during April 2020 were recorded at $403.83 million owing to ease of restrictions in lockdown and opening businesses in global economies.

Meanwhile, the data from the Pakistan Bureau of Statistics revealed that imports of synthetic fibre, synthetic and artificial silk yarn decreased by 24% and 23%, YoY, valued at $401 million and $475 million respectively during Jul-May FY20 while raw cotton import bill jumped by 13.29% YoY to $777 million.

On a yearly basis, the textile group’s imports witnessed a significant decline of 43.37% to $185 million when compared to $326 million in May.

Similarly, on a month-on-month basis, the import of the textile group plunged by 20.43% as the imports during April 2012 were recorded at $232 million.

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