Khaadi — Scaling from SME to Retail Empire

Khaadi was founded in 1998 by Shamoon Sultan, who sought to revive the art of handwoven khaddar fabric. Starting with a single store in Karachi, Khaadi was essentially an SME rooted in artisanal weaving. Over time, it became a retail empire, operating more than 60 stores worldwide and becoming one of Pakistan’s most recognizable fashion brands.

The key to Khaadi’s success lay in its ability to blend traditional craftsmanship with modern retail practices. While handwoven fabrics were its origin, Khaadi invested in design innovation, supply chain modernization, and vertical partnerships with SME weaving and dyeing units. This hybrid approach allowed the brand to offer both authenticity and scale.

Financially, Khaadi’s expansion into international markets—including stores in the UK and Middle East—illustrates how a small Pakistani SME could compete globally by building a strong identity. Revenues grew into billions of PKR annually, creating thousands of jobs across its supply chain. Khaadi’s integration with SME suppliers ensured that its growth also uplifted artisans and small manufacturers.