Textile exports fall 19.57pc in May, marking eighth consecutive month of decline

ISLAMABAD: Pakistan's textile sector experienced a significant decline in export earnings, dropping by 19.57 percent to $1.32 billion in May 2023, compared to $1.64 billion in the same month the previous year, Pakistan Bureau of Statistics (PBS) data showed on Friday.

This marks the eighth consecutive month of dwindling textile sales.

Cumulative exports from the textile sector during July-May FY23 also contracted by 14.7 percent, reaching $15.03 billion, as opposed to the $17.62 billion recorded in the corresponding period last year.

All major components within the textile group, including cotton cloth, knitwear, bedwear, towels, and readymade garments, witnessed a decrease in exports.

However, textile sector exports in May 2023 increased by 7.1 percent compared to the previous month, when the exports amounted to $1.23 billion.

In May 2023, exports of cotton cloth decreased by 24.5 percent to $174.7 million, compared to $231.3 million in May 2022. Similarly, knitwear exports in May declined by 22.34 percent to $322.7 million, bedwear fell by 28.4 percent to $201.5 million, readymade garments decreased by 16.8 percent to $267.7 million, towels declined by 5.2 percent to $87.5 million, and cotton yarn exports decreased by 5.8 percent to $100.4 million compared to the same month of the previous year.

On the other hand, readymade garments exports increased by 8.2 percent, cotton yarn by 57.4 percent, knitwear by 3.4 percent, and towels by 9.9 percent over April 2023. However, bedwear exports declined by 7.6 percent during the same period.

In May 2023, exports of food groups decreased by 16.46 percent to $384.3 million compared to $460 million recorded in May 2022. Within the group, rice exports totaled $179.6 million, a 20.1 percent decrease from May 2022.

Quantitative sales of rice abroad also declined by 46.8 percent in May. Basmati rice exports increased by 11.5 percent to $66.8 million during the month, while other rice exports decreased by 31.6 percent to $112.8 million compared to the corresponding month's sales.

Exports of fish and fish preparations increased by 25 percent to $50.6 million, with volumetric sales also rising by 33 percent. Sugar exports in May 2023 reduced by 95.7 percent to $0.87 million against $20.26 million in April 2023.

Sports goods exports in May 2023 over the corresponding month reduced by 3.3 percent to $31.7 million, of which football exports increased by 21.8 percent to $21.3 million. Surgical goods exports declined 4.1 percent to $31 million, and chemicals and pharmaceuticals went up by 5.3 percent to $128.6 million.

Cement exports however increased 145.9 percent to $18.1 million in May 2023 against $7.36 million in May 2022.

Its volumetric sales during the month also increased 208 percent over the corresponding month of last year.

In May 2023, imports within the petroleum group experienced a notable decrease, declining by 46.8 percent compared to the same month last year, with a value of $1.41 billion, as reported by the latest data. The figure is in contrast to the $2.64 billion recorded in May 2022.

However, imports within the petroleum group showed a 58 percent increase when compared to the previous month.

The import of crude oil dropped by 28.6 percent to $384.8 million, petroleum products by 59.3 percent to $599.1 million, and liquefied natural gas (LNG) by 38.2 percent to $260.8 million. On the other hand, imports of liquefied petroleum gas (LPG) increased by 26.2 percent to $63 million compared to imports in May 2022.

In comparison to May 2022, imports of petroleum products in May 2023 experienced a significant increase of 91.7 percent, while crude oil imports rose by 38.9 percent, LNG by 39.5 percent, and LPG imports increased by 45.8 percent.

Moving on to the machinery group imports in May 2023, they witnessed a YoY decline of 29.6 percent, totaling $550.3 million compared to $781.1 million in May 2022. In April 2023, machinery imports were recorded at $352.2 million.

Among the subcategories, imports of textile machinery decreased by 66.6 percent to $15.2 million, power generation machinery by 66.5 percent to $38.5 million, agriculture machinery by 66 percent to $2.52 million, construction and mining machinery by 1.9 percent to $8.9 million, and telecom machinery imports reduced by 55.8 percent to $81 million. However, imports of electrical machinery increased by 24.5 percent, amounting to $184.3 million.

Imports of mobile sets experienced a substantial decline of 68.5 percent, reaching $43.2 million compared to $137.2 million in the same month of the previous year. However, in comparison to the previous month when mobile set imports were recorded at $10.6 million, imports increased significantly by 308 percent.

Within the transport sector, which includes cars, vehicles, and parts, imports declined by 78 percent YoY in May 2023, totaling $73.9 million. In the same month last year, imports amounted to $338 million. Over the course of 11 months, the total imports in the transport sector reached $1.67 billion, reflecting a decrease of 58.9 percent compared to the previous year's figure of $4.1 billion.