Exports Plunge 15%: Pakistan’s Jul-Nov Trade Deficit Widens to $15.54 Billion
Islamabad, December 22, 2025 – Pakistan’s merchandise trade deficit widened sharply to $15.54 billion during the first five months of fiscal year 2025-26 (July-November), driven by a steep decline in exports and a robust increase in imports, according to data from the Pakistan Bureau of Statistics (PBS).Exports fell 14.54% year-on-year to $12.87 billion from $13.72 billion in the corresponding period last year. The downturn affected all major categories, with significant drops in food items—particularly rice—and textiles, traditional mainstays of Pakistan’s export basket. Read More: https://theboardroompk.com/chinese-firm-proposes-e2-billion-to-boost-shipbuilding-and-steel-work-at-port-qasim/ Meanwhile, imports surged 13.63% to $28.4 billion, up from $25 billion, reflecting higher demand for machinery, raw materials, petroleum products, and possibly consumer goods amid recovering domestic economic activity.The persistent export slump highlights structural challenges, including high energy costs, currency volatility, global competition, and supply chain disruptions. Textile exporters face stiff rivalry from regional peers like Bangladesh and Vietnam, while food exports suffer from climate impacts and quality issues.This widening deficit exacerbates pressure on Pakistan’s external account, potentially straining foreign exchange reserves and the Pakistani rupee. It could complicate compliance with International Monetary Fund (IMF) programme targets, which emphasize export diversification and import rationalization.Analysts warn that without urgent reforms—such as enhancing competitiveness through lower input costs, improving ease of doing business, and pursuing new trade agreements—the trade imbalance may persist, hindering sustainable growth.The government has introduced measures like the National Tariff Policy 2025-30 and export incentives, but their impact remains limited so far. Remittances and services exports provide some cushion, but goods trade remains a vulnerability.November alone saw exports at around $2.39 billion (down 15.4% YoY) and imports at $5.25 billion (up 5%), contributing to a monthly deficit of nearly $2.86 billion.Policymakers now face calls for targeted interventions to revive exports and curb non-essential imports to narrow the gap in the remaining fiscal year.







