Report — 10 September 2024

Over 1,000 power-loom units shut in Faisalabad amid energy and finance squeeze

Summary

Local reporting counted 1,000+ power-loom units closed in Faisalabad after more than 100 textile mills also halted operations. Owners cited rising electricity and gas prices, elevated interest rates, and raw-material costs as the triggers. Estimates suggested hundreds of thousands of jobs at risk across the district’s weaving ecosystem.

Sector signal

Unit closures at this scale disrupt buyer-supplier relationships, push skilled labour into other trades, and risk permanent capacity loss if idle periods extend.

Implications for APPLA
  • Propose time-limited arrears rescheduling window for SME looms.
  • Pair relief asks with measurable commitments: minimum utilization targets, safety upgrades, and formalization milestones.