The Sri Lankan garment industry, long considered the backbone of the island nation’s economy, is navigating a turbulent start to 2026. According to the latest 'External Sector Performance' report released by the Central Bank of Sri Lanka, garment exports plummeted by 8.2 percent during the first quarter of the year. Revenue dropped to $1.17 billion between January and March, a stark decline from the $1.28 billion recorded during the same period in 2025.
The Bangladesh home textile industry has entered 2026 facing a severe crisis as export earnings witnessed a dramatic contraction in the first quarter. According to the latest data from the sourcing intelligence tool, exports for the sector plummeted by 47.8 percent year-on-year, falling to just $170.52 million between January and March 2026. This figure stands in stark contrast to the $326.43 million recorded during the same period last year, signaling a massive cooling of demand in key international markets, particularly in the United States and Europe.
The national textile and textile products (TPT) industry is currently bracing for a significant shift as the mandatory halal certification deadline of October 17, 2026, approaches. Mandated under Government Regulation No. 42 of 2024, this requirement represents more than just a bureaucratic hurdle; it is a fundamental transformation that demands a total overhaul of production systems and supply chain management from the upstream to the downstream sectors.
The Pakistani textile industry, the long-standing backbone of the national economy, is currently battling a severe structural imbalance that threatens its global standing. Latest data from the Pakistan Bureau of Statistics (PBS) for the first nine months of fiscal year 2025–2026 (9MFY26) reveals a complex and troubling landscape. While textile commodities contributed approximately US$ 13.54 billion to the national exchequer, the sector faced a sharp 7.27 percent year-on-year decline in total merchandise exports. The crisis hit a fever pitch in February 2026, when textile shipments plummeted by 25.43 percent sequentially to just US$ 1.3 billion.
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