Karachi, May 19, 2020: As was generally expected in such a severe pandemic scenario with major trade hindrances and low global demand, textile exports severely suffered in Apr-2020, declining by 65 percent YoY to US$404 million.
Sales for all major categories plummeted during the month, with the most severely hit being garments. Cumulatively, textile exports dropped by 3 percent YoY in 10MFY20 to US$10.82 billion.
Per news sources, some improvement is expected in May as shipping delays in April have been reduced. Moreover, buying countries are also gradually easing their respective lockdowns, which should support demand recovery.
In the present dire situation, it remains to be seen what special incentives can be offered to the export oriented sectors. On the other hand, a risk remains that despite the incentives, potentially severe 2nd and 3rd waves of Covid-19 could neutralize any impact from govt. incentives.
