Archive · 2 Jan 2026

Pakistan's Textile Industry Faces Deep Crisis

Pakistan's Textile Industry Faces Deep Crisis

Pakistan's textile industry, which used to be very important for the country's economy, is in big trouble.

Many factories have closed because it's too expensive to make textiles there.

The cost of energy and taxes are very high, and other countries like Bangladesh and India can make textiles cheaper.

Also, Pakistan is producing much less cotton, which is a big problem because it's a main material for textiles.

Farmers are struggling because the price of cotton has gone down, and they are switching to growing sugarcane instead.

All these problems are making it hard for Pakistan to sell textiles to other countries, and the situation is getting worse.

Textile mills in India are also facing issues with the end of duty-free cotton imports, which could increase their costs and affect their ability to compete in the market.

Farmers and traders, however, believe this could help support domestic cotton prices.

Sources