over view on the textile industry of Pakistan

1. Presenters Ayesha Bibi 18-10129
Sheikh Faizan 17-10490
Qasim Mustafa 17-10707

3. Textile Industry is one of the sectors in Pakistan which provides high
employment opportunities and has had a substantial contribution to the
growth and development of the country. Hailed as being the backbone of
Pakistan economy, more than 500 textile mills were set up during the past
four decades making this sector an important stakeholder in Pakistan’s
economy .Pakistan’s textile industry ranks amongst the top in the world.
Cotton based textiles contribute over 60% to the total exports, accounts
for 46% of the total manufacturing and provide employment to 38%
manufacturing labor force. The availability of cheap labor and basic raw
cotton as raw material for textile industry has played the principal role in
the growth of the Pakistan Textile Industry.

4. OBJECTIVES:
Our research aims to:
 Provide a detailed analysis of the problems historically being faced by
the textile industry of Pakistan.
 Provide sustainable solutions to the aforementioned problems and find
alternative methods to return the profitability back to this sector.
 Try and find a relationship between cotton production and the growth
of textile industry.

5.  Pakistan is the 8th largest exporter of textile products.
 Pakistan is the 3rd largest exporter of raw cotton.
 Pakistan is the 4th largest producer of cotton with the third largest
spinning capacity in Asia.
 Pakistan is the 2nd largest supplier of cotton yarn with 26% share of the
international market.
 Pakistan Cotton-textile sector accounts for 11% of GDP and 60% of
exports.

6.  Employment opportunities for the labor force to 15 billion people 38 % of the
work force.
 Share in the GDP of the country, especially in the exports.
 Indirect affect on the cotton production of Pakistan.
 Textile industry contributes approximately 60% to the total output or 11% of the
country GDP.
 Textile industry also has a major stake in the balance of payment of the country.

7.  Lack of research and development.
 Lack of Modernize equipment.
 Increasing cost of production.
 Effects of inflation.
 Government unhealthy policies.
 Power and Energy crisis.
 Electricity crisis.
 Gas shortage.
 Tight monitory policy.
 Removal of subsidy on textile
sector.
 Lack of new investment.
 High Raw material prices.
 Export performance of textile
sector.
 Devaluation of Pakistani rupee.

8. 1. Ginning : Separating cotton from seed and impurities.
2. Spinning : Fiber is converted into yarn.
3. Weaving : Forming of fabric on looms.
4. Processing : It includes bleaching ,dyeing and
printing of fabric.

9. Pakistan textile sector consist of following:
 400 textile mills
 7 million spindles
 27,000 looms in the mill sector
 700 knitwear units
 4,000 garment units
 650 dyeing and finishing units (with finishing capacity of 1,150 million
square meters per year)

10. PRODUCTION OF COTTON
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
Fiscal Year
Pakistan Bureau of Statistics reports the production of cotton.
During 2014-15, cotton production stood at 13,983 thousand bales
cotton bales
cotton tones

11. AREA PERCENTAGE UNDER COTTON
15%
11%
9%
7%
6%
5%
5%
4%
4%
3%
3%
3%
3%
3%
2%
2%
2%
2%
2%
2%
2% 2%
2%
2%
Cultivated area under cotton 1990-91
1991-92
1992-93
1993-94
1994-95
1995-96
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14

12. CULTIVATED AREA UNDER COTTON
0
500
1,000
1,500
2,000
2,500
3,000
3,500
ThousandsofHectars
Fiscal years
Area under cotton crop 1990-2015
area

13. 0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2013-14 2014-15
Cotton Exports (Million of Rupees)
Cotton Exports
Total Exports
Source: Surveys Pakistan Bureau of Statistics

14.  Six sectors including raw cotton, cotton fabric, garments , towels, hosiery, bed
wear and cotton yarn achieved exports.
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2013-14 2014-15
Cotton exports in US$ 25 billions in 2014
Raw cotton Cotton Fabrics Garments Towels Hosiery Cotton Yarn Bedwear

15. 30%
7%
6%
5%
4%
3%
3%
3%
3%
3%
3%
3%
2%
2%
1%
1% 1%
1%
1%
1%
14%
Percentage of Buyers Countries by (APTMA)
U.S.A.
UNITED KINGDOM
GERMANY
CHINA
ITALY
BANGLADESH
SPAIN
UAE
BELGIUM
TURKEY
NETHERLANDS
HONG KONG
FRANCE
SAUDI ARABIA
SOUTH AFRICA
CANADA
PORTUGAL
SRI LANKA
SOUTH KOREA
AUSTRALIA
OTHER COUNTRIES

16. Pakistan’s textile industry is going through one of the toughest periods in
decades. The global recession which has hit the global textile really hard
is not the only cause for concern . Serious problems that are discussed in
this research effected Pakistan’s textile industry very badly. Given the fact
that this industry still provides the major share of exports and
employment opportunities, there is more than a greater need for steps in
right direction to revive it. Moreover, there is need to control quality as
our yarn and apparel products from finer counts are highly vulnerable to
international competition.

17.  Removal of Energy Crisis.
 Forming special export policies and tax exemptions.
 Improvement in productivity.
 Exploration of new export markets.
 Awareness of International Quality Standards.
 Use of High Yielding Seeds for better quality production.
 Increasing the government cooperation with textile industry.