Overview

• Official data show merchandise exports fell 3.83% to $7.61 billion in Q1 FY26, with September down 11.71% year-on-year to $2.51 billion.
• Pakistan’s trade deficit widened to $9.37 billion in the quarter as imports rose 13.49%, intensifying pressure on external accounts.
• Gul Ahmed Textile Mills has closed its export apparel segment, a labor‑intensive unit, citing high input costs, shifting taxes and tougher regional competition.
• PTC criticises FBR’s SRO 1359(1)/2025 that narrows the Export Facilitation Scheme by excluding cotton, cotton yarn and grey cloth, calling the move a de facto tax on exports.
• The council, representing over 30% of textile and apparel exports, has filed formal objections and urges immediate steps on competitive energy pricing, rapid automated refunds, stronger export financing and predictable policy.