Pakistan's Non-woven Bag Export Breaks into Crisis

On January 17, at the inaugural meeting of the Export Branch of the Karachi Chamber of Commerce and Industry (KCCI), President Abdullah Zaki highlighted that Pakistan faces strong competition in the non-woven bag export market from Bangladesh, China, and India. These countries provide substantial subsidies and favorable policies to their non-woven bag industries, significantly reducing their production costs. In contrast, Pakistani authorities have not implemented specific measures to lower export costs, putting local manufacturers at a disadvantage. Club president Alamgir A. Shaikh noted that most major exporting cities have now joined the Export Branch, allowing them to actively participate in the Export Committee’s initiatives. He also shared that during July to November 2006, exports reached $6.9 billion, slightly above the previous year’s $6.5 billion. However, he emphasized that the global market has shifted from a seller’s to a buyer’s market, making it essential for exporters to reduce delivery times, improve service quality, and offer competitive pricing to remain viable. Alamgir A. Shaikh further pointed out that energy costs in China and India are much lower than in Pakistan. Additionally, India has introduced various measures to cut production costs in the non-woven bag sector, with industrial zones benefiting from preferential policies. He stressed that it is time for Pakistani authorities to take concrete actions to support the export industry, as non-woven bag companies are currently facing significant challenges. With growing international competition, proactive strategies are essential to ensure long-term sustainability and competitiveness in the global market.