Unrest in Pakistan hurts textile exports

A state of emergency declared in Pakistan in November 2007, followed by the assassination of Benazir Bhutto and the subsequent December riots, are the primary causes of a 3-percent decrease in textile exports, reports the Yarns and Fiber Exchange e-newsletter, yarnsandfibers.com. Political crisis and uncertainty is scaring off foreign buyers, while production costs after the unrest have increased as well. Exporters also see rising prices of raw material, including raw cotton, as a factor in the decline. Textiles account for more than 65 percent of Pakistan’s exports, which declined $226 million from July 2007 to April 2008 from a comparable period the previous year.