Pakistan's Carpet Exports Fall 18%

Karachi, Pakistan, Oct. 27, 2008--In July-August 2007 carpets, rugs and mates exports were $34 million compared to $28 million this fiscal year, a decline of about 18 percent.

Hand knotted carpets are supposed to be a luxury item and sales have slowed in the international market because of slow down in the economies of the world and especially the U.S.

The other reason is that during the last year Pakistani exporters have increased prices of carpet by $.70 per square foot, due to the rising utilities tariff and other raw materials, which made the product less competitive.

The big importers diverted their orders towards other regional countries, including India and China as these countries are cost competitive and have good law and order conditions.