P&G exits Pakistan

Procter & Gamble (P&G), one of the world's largest consumer goods companies announced that it will 'exit' its direct manufacturing and commercial operations in Pakistan, including Gillette Pakistan Ltd, and transition to a third-party distribution model.

In a statement on Thursday, the company said the decision was part of its global efforts to accelerate growth and value creation. P&G has decided to shift our business and operating model in Pakistan and transition to a third-party distributor model to continue to serve consumers, it said.

"This means we will wind down the manufacturing and commercial activities of P&G Pakistan and Gillette Pakistan Ltd. and serve consumers from our other operations in the region."

The company added that it would continue to operate in the ordinary course until the transition process is completed, which could take several months. Transition planning will begin immediately, with the company stating its "first focus is on P&G people." Employees whose roles are impacted will either be considered for opportunities in other P&G operations outside Pakistan or offered separation packages in accordance with local laws, company policies, and P&G's values and principles.

Meanwhile, Gillette Pakistan's Board held an urgent meeting, where directors endorsed P&G's exit decision and also cleared plans to delist from the PSX.