BAFL 46.54 Decreased By ▼ -0.21 (-0.45%)
BIPL 21.04 Increased By ▲ 0.68 (3.34%)
BOP 5.54 Increased By ▲ 0.23 (4.33%)
CNERGY 4.85 No Change ▼ 0.00 (0%)
DFML 18.82 Increased By ▲ 1.67 (9.74%)
DGKC 80.50 Increased By ▲ 1.65 (2.09%)
FABL 30.95 Increased By ▲ 1.71 (5.85%)
FCCL 20.49 Increased By ▲ 0.14 (0.69%)
FFL 9.59 Decreased By ▼ -0.07 (-0.72%)
GGL 13.94 Increased By ▲ 1.19 (9.33%)
HBL 116.96 Increased By ▲ 2.68 (2.35%)
HUBC 123.62 Decreased By ▼ -0.18 (-0.15%)
HUMNL 7.98 Increased By ▲ 0.40 (5.28%)
KEL 3.52 Increased By ▲ 0.19 (5.71%)
LOTCHEM 28.59 Increased By ▲ 0.34 (1.2%)
MLCF 42.10 Increased By ▲ 0.10 (0.24%)
OGDC 123.10 Increased By ▲ 8.99 (7.88%)
PAEL 18.82 Decreased By ▼ -0.03 (-0.16%)
PIBTL 5.71 Increased By ▲ 0.11 (1.96%)
PIOC 114.50 Increased By ▲ 0.60 (0.53%)
PPL 110.98 Increased By ▲ 11.52 (11.58%)
PRL 27.52 Increased By ▲ 0.76 (2.84%)
SILK 1.08 Decreased By ▼ -0.01 (-0.92%)
SNGP 70.09 Increased By ▲ 2.69 (3.99%)
SSGC 13.18 Increased By ▲ 0.58 (4.6%)
TELE 8.81 Increased By ▲ 0.26 (3.04%)
TPLP 13.65 Increased By ▲ 0.35 (2.63%)
TRG 91.94 Increased By ▲ 6.25 (7.29%)
UNITY 26.81 Increased By ▲ 0.34 (1.28%)
WTL 1.57 Decreased By ▼ -0.01 (-0.63%)
BR100 6,544 Increased By 101.5 (1.58%)
BR30 23,210 Increased By 429.3 (1.88%)
KSE100 63,918 Increased By 961.7 (1.53%)
KSE30 21,352 Increased By 348.1 (1.66%)

Despite the government’s decision to ease restrictions on the approval of Letters of Credit (LCs), Pakistan’s manufacturing sector continues to remain engulfed in issues including decline in demand, resulting in companies either shutting temporary or rolling back operations.

Agriauto Industries Limited, a manufacturer of auto parts, on Monday announced to observe a partial shutdown in October.

“Due to reduction in production volumes of our major customers, the company will be observing partial shutdown during the month of October 2023 ,” it said in a notice to the Pakistan Stock Exchange (PSX) on Monday.

It added that Agriauto Stamping Company Pvt. Limited, its wholly owned subsidiary, will also observe a partial shutdown in October 2023, citing similar reasons.

It is pertinent to mention that Agriauto made a similar announcement in September as well.

Its clients include Suzuki, Toyota and Atlas Honda, currently struggling and have shut down plant operations on multiple occasions as the sector deals with inventory shortages due to import restrictions.

Last week, Indus Motor Company – one of the major players in the auto sector – made its eighth announcement of production closure this year.

“Escalating car prices, expensive auto financing, and low purchasing power of consumers are among the primary reasons for the decline in YoY sales,” brokerage house Topline Securities said in a report earlier.

Apart from the auto sector, the country’s crucial textile sector, responsible for a majority of Pakistan’s exports, is also bearing the brunt of a plunge in demand and escalating economic woes.

“Due to lesser market demand for yarn, and other economic adversities, the board of directors has decided to shut down Units No. 1 and 4 from September 29, 2023, for an indefinite time,” announced Shahzad Textile Mills Limited, whose principle business is to manufacture and deal in all types of yarn, in a notice to the bourse on Monday.

“However, Units No. 2 and 5 will remain operative.

“We believe that this strategic decision will lead to several long-term benefits for our company.

“Our board of directors and management team have thoroughly evaluated the associated risks and benefits, and we are confident that this action is in the best interest of our company and its shareholders,” it added.


1000 characters
Parvez Oct 02, 2023 02:01pm
... and our establishment still thinks Nawaz is the answer. How much more misery are they going to subject Pakistan to.
thumb_up Recommended (0) reply Reply
Ghareeb Awam Oct 02, 2023 02:36pm
Hand over the entire country to SIFC and then see 'dama dum mast qalander'
thumb_up Recommended (0) reply Reply
Johnny Walker Oct 02, 2023 02:42pm
Unless the books are balanced & exports are increased this country is hurtling towards massive unemployment and subsequent increase in criminal activities. But cutting expenditure is not the priority of the selfish lot that receive the perks and benefits. A caretaker PM with his family and friends, goes on a 15 day junket to the West, at tax payers expense. Laughable.
thumb_up Recommended (0) reply Reply
Aamir Oct 02, 2023 03:09pm
Totally cut all govt expenditure. Privatize all SOEs and rationalize defense expenditures. That is only way forward
thumb_up Recommended (0) reply Reply
Haris Oct 02, 2023 05:49pm
@Ghareeb Awam, the way dum-a-dum-must-qalandar happened in 1971??? "SlFC" was actively running the country back then unlike being in shadows today. If they failed back then, how must one be expected to believe they will perform otherwise today?
thumb_up Recommended (0) reply Reply
Usman Oct 02, 2023 07:41pm
Innovate or be wiped out.The old methods of blackmailing the govt wont work.
thumb_up Recommended (0) reply Reply
Usman Oct 02, 2023 07:42pm
@Johnny Walker, it was 12 my friend are follower of a cult called pti.Still 12 days out of the country and is managing it better than nawz zardari and imran.
thumb_up Recommended (0) reply Reply
Cool Oct 02, 2023 09:44pm
@Parvez, Nawaz pays good bribes to Everyone. Be it local or foreign
thumb_up Recommended (0) reply Reply
gnay.aly Oct 03, 2023 03:45am
Those suppose & principal duty/
thumb_up Recommended (0) reply Reply
gnay.aly Oct 03, 2023 03:49am
@Johnny Walker, Respected Sir With humbly submission that it is only due to Our Military Establishment & Premier Spy Agency I S I that a person KAKAR who was never ever had any experience
thumb_up Recommended (0) reply Reply
Abdur REHMAN Oct 03, 2023 02:39pm
Aik beghirat nashe me duth abhi be yahe soch Raha hai kai nawaz Shareef akai sab Kuch theek karega
thumb_up Recommended (0) reply Reply
Haris islam Oct 03, 2023 02:55pm
The most important thing which we all are ignoring is "tax on tajir".SOE's and govt expenses are meager in front of this mafia corruption which is actually "tajir",business men,retailers, arthis, importers,stockist etc.if they paid their 50percent taxes as per rules, Pakistan might get out of this debt and inflation trap in year or two.nothing more serious than this tax corruption. Billions of rupees in an year can be save. Please look into figures, govt expenses and even defence expenses are nothing in front of this mafia corruption.
thumb_up Recommended (0) reply Reply
Indus motors, Peshawar Oct 04, 2023 08:44pm
Imran is truly happy.
thumb_up Recommended (0) reply Reply
Haroon Tufail Oct 05, 2023 05:50am
@Abdur REHMAN , or ussay bara baghairat adyala mai band hay sala
thumb_up Recommended (0) reply Reply

More companies announce temporary shutdowns as economic woes continue

Three projects: ADB approves $659m in financing

New FAB ED: govt initiates appointment process

FWBL sell-off: Minister briefed about status of accounts

Digitising budget process: Shamshad chairs IMF mission meeting

‘Illegal’ LCs, forex market speculation: MoF set to share list of banks with SIFC today

Loss-making Discos: FD opposes PD’s proposal

Power sector: Nepra backs transition from Libor to ‘SOFR’

‘Delayed’ CASA-1000 project: World Bank reluctant to arrange funds

CPEC 10th anniversary: there exists strong commitment to accelerate pace of ongoing projects

Customs values of various goods changed