1 Lakh Jobs Lost as 40% of Faisalabad Looms Shut Down

 

Around 40% of power loom units in Faisalabad and surrounding areas have reportedly closed as the textile industry continues to face pressure from cheaper Chinese imports, rising utility expenses and increased taxes. Industry representatives claim that the closures have resulted in more than 100,000 workers losing their jobs, raising concerns over employment and the future of small-scale textile businesses.

The power loom sector is a key component of Faisalabad’s textile industry and is estimated to include nearly 800,000 looms. The sector consists of small workshops run by local businesses as well as larger manufacturing units supplying textile products to various markets.

According to industry representatives, smaller units have been particularly affected by rising production costs and growing competition from imported textile products. Shakil Ansari, a representative of sizing mills, pointed to the difficulties faced by small businesses as they struggle to remain operational under challenging market conditions.

The ongoing situation has also led industry stakeholders to call for stricter monitoring of imported textile products. The Council of Loom Owners Association has approached Commerce Minister Jam Kamal, seeking tighter checks on the alleged undervaluation of textile imports.

Industry representatives argue that undervalued imports can put additional pressure on domestic manufacturers by allowing foreign textile products to enter the local market at prices that are difficult for local producers to match.

The closures have intensified concerns about the long-term sustainability of Faisalabad’s power loom industry and its impact on thousands of businesses and workers. Industry stakeholders are calling for government measures to address concerns surrounding imports, reduce rising operating costs and support local textile production.