The Pakistan Business Council (PBC) recently produced a paper titled ‘Using E-Commerce to Promote Exports of Pakistani Fashion Products’ in which it projected that the global revenues of e-commerce retail trade in fashion products are valued at US$ 837.3 billion.
The estimated value of Pakistan’s domestic B2C e-commerce market in 2022 is US$7.7 billion, of which US$1.4 billion will be spent on fashion items. Meanwhile, cross-border B2C e-commerce trade from Pakistan in 2022 is predicted to be US$ 368.3 million, the majority of which is fashion products. In contrast, a global estimate of cross-border business-to-consumer e-commerce trade in the fashion sector is estimated to be worth US$221 billion and expand at a 6.2% annual rate during the following three years. Therefore, Pakistan’s current share is calculated to be under 0.15% with room to grow exponentially.
According to reports, retail companies like Limelight, Gul Ahmed, Khaadi, Sana Safinaz, and Al Karam Studio ship women’s apparel worth tens of millions of dollars to Pakistanis living abroad. Hundreds of other fashion companies are known to cater to consumers in the United States, the United Kingdom, the United Arab Emirates, Canada, Australia, Europe, and the Gulf nations, with up to 30% of their sales coming from these overseas markets.
The detailed analysis goes on to emphasize critical recommendations for stakeholders such as merchants, E-commerce corporations, logistics providers, the financial sector, and the government, as follows:
- Fashion Designers and Merchants Participate in Training and Awareness Sessions
- Improve Pakistan’s access to international logistics
- Making of Pakistani Third-Party Service Providers to Handle Particular E-Commerce Tasks
- Digitalization of banking and customs procedures is necessary.
- SBP and Customs Laws Revision
- Pakistan must work to improve its reputation.
- Collaborations with foreign designers to promote Pakistani fashion
- Issuance of Certification or Badges to Genuine Websites of Fashion Brands
- Improvements in Pakistani Payment Gateways
- Assisting Pakistani providers of digital marketing services
- Development of Ancillary Products, Fusion Wear, and Western Wear Brands
- The industry needs to implement Standardization
- Focus Towards a More Diversified Client Base