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Monday, April 15, 2024

Pakistan outperforms India in apparel exports to US

Pakistan being the only main exporter with increased apparel supply to America has beaten India, says Dawood.

According to Sourcing Journal, a credible source for textile sector information, Pakistan had an outstanding performance among apparel export destinations globally during February.

Adviser to PM on Commerce Abdul Razak Dawood said that Pakistan is the only main exporter with increased apparel supply to America during Covid-19.

Another report released by Apparel Resources which is international platform that gives insights into apparel industry exports said that Pakistan was on top position in the list of countries that export textile.

“Pakistan is showing the world that we are a reliable supply destination,” Dawood said.

Usually, India and Bangladesh perform better than Pakistan but this time, despite the challenges that Covid has posed for the global economy, Pakistan has managed to fare better than its counterparts.

China along with Pakistan also managed to increase its apparel shipments to the US both in terms of value and volumes. Other countries that recorded growth in exports included China, Bangladesh and Egypt.

Read More: Exports increase 8.74pc to Rs2.651 trillion in 8 months: PBS report

Despite import value of the US apparel decreasing by 8.7% year-on-year to $5.39 billion in February 2021, its volume increased 3.2% and Pakistan was on top of the list of countries which recorded a hike in their apparel exports.

Countries that experienced a decline in apparel exports to the US both in value and volume terms included India, Vietnam and Indonesia.

The PM’s aide said that the policies formulated by the government for the texile industry have had a significant role to play in the increased exports. Our vision is to promote “ Make in Pakistan’,” he added.

However, the country is still facing many obstacles to keep up with its performance as it faces a decrease in cotton production. The government has recently approved duty-free import of cotton yarn to after facing pressure from the pressure from the textile industry,

Reports suggest that against annual predicted consumption of minimum 12 million bales, Ministry of National Food Security and Research expects only 7.7 million bales production this year. However, cotton ginners have given the lowest production estimates of only 5.5 million bales for this year.

According to the Pakistan Bureau of Statistics, Pakistan has imported around 688,305 metric tonnes of cotton and yarn while there is a minimum shortfall of six million bales. A gap of about 3.5 million bales is present that the government would need to fill through imports.

Due to the rising decline in cotton production, users were forced to import from United States, Brazil and Uzbekistan.

Earlier this year, Minister for National Food Security and Research Syed Fakhr Imam while chairing a meeting said that the year 2021 would be a kill or cure situation for the cotton crop. The last few years of declining acreage, dropping per acre yield and sinking national production are testament to the fact that it is an increasingly challenging time for the industrial crop.