Ahmed Khan Malik

The hosiery sector in Sindh has urged the federal government to ensure a level playing field in the allocation and implementation of projects under the Export Development Fund (EDF), saying exporters from the province are not receiving equitable benefits despite their significant contribution to national exports. Industry representatives said Sindh, particularly Karachi, remains one of the country’s largest hubs for hosiery and knitwear manufacturing.

However, they noted that EDF-funded initiatives have largely been concentrated in other regions, limiting the sector’s ability to upgrade technology, improve compliance with international standards and enhance export competitiveness. Exporters based in Sindh regularly contribute to the EDF through export proceeds, but the return in the form of development projects remains disproportionately low. “The EDF is meant to support export growth across the country, not in just select regions.

Sindh’s hosiery sector deserves equal access to these funds,” said Babar Khan, Chairman of the Hosiery Manufacturers Association. Talking to Wealth Pakistan, he said the hosiery sector is a key component of Pakistan’s textile value chain and contributes significantly to value-added exports, including socks, knitted garments and sports hosiery.

Despite this, manufacturers in Sindh are grappling with multiple challenges, including high energy tariffs, rising compliance costs, limited access to modern testing facilities and a shortage of skilled labour. He said EDF-supported projects could play a critical role in addressing these constraints. The sector has called for the establishment of common facility centres, accredited testing and certification laboratories, design and product development centres, and specialised training institutes in Sindh.

Such facilities, he added, would help exporters meet stringent international buyer requirements and reduce reliance on costly private services. Babar Khan also stressed the need for EDF-backed initiatives focused on marketing, branding and market diversification. With intensifying competition from countries such as Bangladesh, Vietnam and Cambodia, he said Pakistan’s hosiery sector must invest in innovation, sustainability and value addition to protect and expand its share in global markets.

He pointed out that small and medium enterprises(SMEs), which make up a large segment of the hosiery industry in Sindh, are particularly disadvantaged due to limited financial capacity. “EDF projects are crucial for SMEs, as they cannot individually afford advanced machinery, testing facilities or international certifications,” he said.

Concerns over regional imbalance in EDF projects, he said, have been raised repeatedly in meetings with the Ministry of Commerce and other relevant authorities. While officials have acknowledged the issue, progress remains slow and tangible outcomes have been limited. He also called for greater transparency and stakeholder representation in EDF decision-making bodies, adding that meaningful consultation with exporters from all provinces would help ensure a fair distribution of funds and improve the effectiveness of development initiatives.

The equitable utilisation of the Export Development Fund, he said, is essential for balanced regional development and sustained export growth. “Ignoring major industrial clusters like Sindh weakens Pakistan’s export potential. Supporting hosiery exporters in the province can deliver quick and measurable gains,” he added.

Credit: INP-WealthPk