Textile sector under pressure to adopt ESG principles

Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) has emphasised the need for a collaborative approach in policymaking by uniting key stakeholders such as government ministries, academic institutions and industrial bodies.

The request was made by PRGMEA North Zone Chairman Dr Ayyazuddin in a letter addressed to Federal Minister for Commerce Jam Kamal Khan.

The letter was also sent to the Senate and National Assembly standing committees on climate change and human rights. He said that the textile industry, which contributed $16.5 billion annually to Pakistan's exports and served as a cornerstone for employment generation, was facing increasing global pressure to align with environmental, social and governance (ESG) principles.

Highlighting the importance of international frameworks like the Corporate Sustainability Due Diligence Directive and International Labour Organisation (ILO) conventions, Ayyazuddin called the evolving global standards both a challenge and an opportunity for Pakistan's exporting industries. He pointed out that PRGMEA had taken a proactive step towards addressing the pressing challenges of social and environmental sustainability in the textile sector. He underlined the need for engaging representatives from the government, academia and industry associations to develop actionable strategies.

He also proposed the establishment of two task forces under the National Compliance Centre – one dedicated to addressing textile export challenges and the other tasked with dealing with non-textile export sector issues – to ensure targeted solutions for sector-specific governance concerns.