Pakistan's Carpet Exports Slide

Karachi, Pakistan, Sept.29, 2008--Pakistan's carpet exports declined by 22 percent during August due to rising cost, internal strife and high competition in the international market.

The updated statistics of first two months also show that last year's declining trend in the country's carpet exports continued this fiscal year as well.

The country has exported carpets, rugs and mates worth $14.429 million, during August, compared to $18.547 million products was exported during the same period the last year, depicting a straight decline of around $4.12 million.

"Since this item (carpets) is a luxury rather than a necessity, its sales in the international market decline when economic activities slow down, while law and order and increasing cost in domestic market are some other factors behind the current downfall," a leading carpet exporter pointed out.

Recently, a leading importer of carpet, who imports carpets worth over 100 million euro annually, has refused to visit Pakistan after the Marriott bomb blast, he added. He said the country's carpet exports grow smartly during August to December every year, however, exporters have not received any big orders during the same period this year.

Another carpet exporter said: "In fact, we have lost our big clientele as we have become un-competitive in the world's market due to the rising cost of production in the domestic market." He said that some of their big clients have been diverted towards other regional countries, including India and China as these countries are cost competitive and enjoying controlled-production.