EDGE OVER REGIONAL COMPETITORS
Textiles remain Pakistan’s most valuable export, with up to 90 per cent of its shipments going to the US. Many believe the latest tariff announcement could push that number even higher.
Apparel maker Amami Clothing is optimistic that business will soon pick up. Its sportswear is shipped to retailers across the globe, with much of it bound for the US.
“In the textile sector, the US buys the most from India, mainly cotton, but (Indian exporters) are facing tariffs of 50 per cent. That’s a huge difference,” said its CEO Asmat Khan.
“Because of this, we’re getting daily inquiries, which shows us that many customers who were working with India will gradually shift to Pakistan,” he added.
“It’s good luck for Pakistan, and I feel if this continues, the textile and apparel sector will see a huge boom.”
Last month, the US and Pakistan struck a trade deal that Islamabad said would lead to increased investment.
While further negotiations are needed to iron out the finer details, observers said the trade pact – and Pakistan securing it ahead of arch-rival India – marks a significant win.
“Now the advantage is big enough that even on the economies of scale, (India) would find it difficult to compete,” said public policy expert Khaqan Hassan Najeeb, a former adviser to Pakistan’s Ministry of Finance.
“Pakistan has successfully kind of recognised how to engage with the US administration.”
