Large-Scale Manufacturing Grows 5.77% in 11 Months Despite May Dip

Pakistan’s Large Scale Manufacturing (LSM) sector grew 5.77 percent during the first 11 months of fiscal year 2025-26, driven by strong growth in automobiles, food products, garments, and petroleum products, despite a slight decline in industrial output during May.

According to data released by the Pakistan Bureau of Statistics, the Quantum Index of Manufacturing rose to 121.65 during July to May, compared with 115.02 in the same period last year. However, manufacturing output declined 0.98 percent year on year in May, although it increased 1.21 percent compared with April.

The automobile industry remained the biggest contributor to overall growth, with production rising 58.82 percent during the 11 month period. Car and jeep production increased 60.60 percent, truck production jumped 76.88 percent, and bus production rose 23.66 percent.

Food products, garments, and petroleum products also posted strong gains, helping offset weakness in several other industries.

Food production increased 7.75 percent, supported by a 31.54 percent rise in sugar, bakery, and chocolate production. Petroleum products grew 10.56 percent, with petrol production increasing 13.04 percent, high speed diesel 17.01 percent, and LPG 14.56 percent. Garment production also rose, while garment exports increased 7.31 percent during the period.

Despite the overall recovery, several major industries remained under pressure. Pharmaceutical production fell 8.07 percent, iron and steel output declined 7.49 percent, chemicals dropped 2.64 percent, and fertilizer production decreased 2.25 percent. The textile sector, Pakistan’s largest manufacturing industry, remained largely stagnant, recording a marginal decline of 0.09 percent.