Pakistan Textile Industry Overview: Exports, Categories and What It Means for Your Brand

Pakistan shipped $17.93 billion of textiles and apparel in FY2025-26, almost exactly the same as the year before. Under that flat total, the mix is shifting. Readymade garments grew while cotton cloth fell, and yarn exports jumped by double digits. For a fashion or home brand deciding where to place its next order, those details matter more than the headline. They show which parts of the textile industry are investing, which are under pressure, and where buyers can expect capacity, prices and lead times to move. This overview breaks down Pakistan’s textile exports by category, explains how the industry is structured from cotton field to finished garment, and sets out what the numbers mean for brands sourcing from the UK, Europe and the US.

Key Takeaways

Pakistan’s textile industry exported $17.93 billion in FY2025-26, up 0.26 percent on the previous year, according to provisional PBS data.
Knitwear is the largest export category at $4.97 billion, followed by readymade garments at $4.29 billion and bedwear at $3.11 billion.
Readymade garments grew 3.87 percent while cotton cloth fell 7.55 percent, showing a slow shift toward finished, higher-value products.
Vertical mills that spin, weave or knit, dye and sew under one roof give brands shorter supply chains and better traceability.
For brands, the strongest categories to source are knitwear, denim, bedwear and towels, where Pakistan has deep capacity and long export experience.

How Big Is Pakistan’s Textile Industry?

Pakistan’s textile industry is the country’s largest export sector, earning $17.93 billion in FY2025-26 and making up more than half of all merchandise exports. It covers everything from raw cotton and yarn to finished jeans, hoodies, towels and bedsheets.

The industry is built on local cotton. Pakistan is one of the world’s largest cotton producers, which means many mills buy fibre close to home, spin it, and turn it into fabric and garments in the same region. Most export capacity sits in a few clusters: Faisalabad for yarn and home textiles, Lahore for garments and denim, Karachi for large vertical mills and port access, and Sialkot for sportswear.

That scale matters for buyers. It means a wide supplier base, competitive pricing on cotton-based products and factories used to the quality, compliance and paperwork that UK, EU and US retailers expect. Our textile manufacturing in Pakistan sourcing guide explains how to approach suppliers in each cluster.

Pakistan Textile Exports by Category

Knitwear, readymade garments and bedwear together account for more than two thirds of Pakistan’s textile exports. The table below compares the main categories in FY2025-26.

Export Category	FY2025-26 Value	Change vs FY2024-25	What It Covers
Knitwear	$4.97 billion	-0.88%	T-shirts, hoodies, polos, activewear
Readymade garments	$4.29 billion	+3.87%	Denim, woven shirts, trousers, workwear
Bedwear	$3.11 billion	Almost unchanged	Sheets, duvet covers, pillowcases
Cotton cloth	$1.67 billion	-7.55%	Greige and finished woven fabric
Towels	$1.06 billion	-1.93%	Bath, hand and beach towels
Cotton yarn	$765 million	+12.40%	Spun yarn for knitting and weaving

Finished products such as garments and bedwear dominate the export mix, while basic cloth is shrinking, which suits brands buying ready-to-sell goods.

These provisional figures come from the Pakistan Bureau of Statistics, as reported by Textalks. Monthly numbers move a lot, so the full-year totals give a clearer picture than any single month.

Where Is the Textile Industry Growing?

Growth in Pakistan’s textile industry is coming from value-added products, not raw materials. Readymade garments rose 3.87 percent in FY2025-26, while cotton cloth exports fell, as mills move more fabric into their own garment lines rather than selling it.

Three trends stand out for buyers:

More finished garments: factories are adding cutting and sewing capacity to earn more per kilo of cotton. Denim and woven bottoms are a big part of this.
Steady home textiles: home textiles such as bedwear and towels held close to last year’s levels, which keeps capacity available for new buyers.
Compliance as standard: more mills now hold certifications such as BSCI, SEDEX, WRAP and OEKO-TEX, because large retailers require them. Our guide to sustainable supply chain management covers what to check.

Knitwear dipped slightly but remains the largest category, so knitwear brands still have the widest choice of factories and price points.

How Is the Industry Structured?

Pakistan’s textile industry runs from cotton farms through spinning, weaving or knitting, dyeing and finishing, to garment making. Many of the larger exporters are vertical, meaning they handle several of these stages in one company.

Vertical mills give brands two clear benefits. Fabric problems can be fixed in-house before cutting, and the supply chain is easier to trace, which helps with sustainability and customs paperwork. Smaller CMT units and specialist factories fill the gaps, especially for sportswear in Sialkot and for low-volume or fashion orders.

The best fit depends on your order. A large retailer running 20,000 units of a basic tee suits a vertical mill. A growing label running 300 units across several styles is often better served by a full-package factory or a sourcing partner. Our article on why fashion brands choose Pakistani clothing manufacturers looks at these trade-offs in more depth.

What Does This Mean for Your Brand?

For brands, Pakistan’s textile industry offers deep capacity in cotton-based categories, competitive prices and a growing focus on finished goods. The flat export total also means many factories are actively looking for new buyers.

Use the data to guide your sourcing plan:

Source cotton-heavy products such as tees, hoodies, denim, towels and bedding, where Pakistan is strongest.
Ask factories for recent certification and inspection reports, not just a list of logos.
Plan around seasonal demand, since export volumes swing month to month.
Work with vetted clothing manufacturers in Pakistan to reduce the risk of a poor first order.

Conclusion

Pakistan’s textile industry earned $17.93 billion in FY2025-26, led by knitwear, readymade garments and bedwear. The headline total was flat, but the shift toward finished, higher-value products and stronger compliance makes the country a practical sourcing base for UK, European and US brands. If your range is built on cotton, the capacity, experience and vertical supply chains are already in place. The next step is matching your product, quantities and standards with the right factory.

Frequently asked Questions

1. What are Pakistan's main textile exports?

Pakistan's main textile exports are knitwear ($4.97 billion in FY2025-26), readymade garments ($4.29 billion), bedwear ($3.11 billion), cotton cloth ($1.67 billion) and towels ($1.06 billion). Together these make up most of the country's $17.93 billion textile export total, with finished products growing their share as basic cloth exports decline.

2. How much does Pakistan's textile industry export each year?

Pakistan's textile industry exported $17.93 billion in FY2025-26, a 0.26 percent increase on the $17.88 billion recorded in FY2024-25, according to provisional Pakistan Bureau of Statistics data. Textiles remain the largest part of the country's merchandise exports and its biggest source of manufacturing jobs.

3. Which cities are the centres of Pakistan's textile industry?

The main centres are Faisalabad, known for yarn and home textiles, Lahore for garments and denim, Karachi for large vertical mills and port access, and Sialkot for sportswear and technical apparel. Each cluster has its own strengths, so brands usually choose factories by product category as well as by city.

4. Is Pakistan good for sourcing clothing?

Yes, especially for cotton-based clothing such as t-shirts, hoodies, denim, workwear and knitwear. Pakistan's textile industry has local cotton, vertical mills and long experience exporting to UK, EU and US retailers. Brands should still check certifications, request samples and arrange independent quality control before placing bulk orders.

5. What is a vertical textile mill?

A vertical textile mill handles several production stages in one company, usually spinning, weaving or knitting, dyeing, finishing and garment making. This shortens lead times, makes quality problems easier to fix early and improves traceability. Many of Pakistan's largest exporters work this way, especially in denim, knitwear and home textiles.