By Muhammad Faisal Kaleem
Pakistan is accelerating its textile digital transformation to modernize the apparel sector through traceability systems, e-commerce integration, and advanced technology adoption under the draft Textile and Apparel Policy 2025–30, available with this reporter.
Accelerating Pakistan Textile Digital Transformation
Digitalization is central to boosting transparency, productivity, and competitiveness in the textile value chain. The Ministry of Commerce (MoC), through the Export Development Fund (EDF), will incentivize projects adopting Industry 5.0 systems, artificial intelligence, robotics, the Internet of Things (IoT), automation, virtual sampling, blockchain-enabled product tracking, and big data analytics.
These steps aim to optimize manufacturing, cut costs, and improve digital traceability across the textile and apparel industry.
Industry 5.0 and Smart Technology in Textiles
The draft policy also proposes the National Industrial Traceability System, a blockchain-based platform to ensure supply chain transparency.
The Federal Board of Revenue (FBR) will implement this system with MoC, the Ministry of National Food Security and Research (MoNFSR), and the Ministry of Industries and Production (MoI&P). Mandatory RFID tagging of cotton bales from ginning factories to downstream industries will ensure traceable movement of cotton and non-cotton products.
Blockchain and RFID for Supply Chain Transparency
To improve policymaking with accurate data, the Ministry of Planning, Development and Special Initiatives will develop a Unified GIS-enabled National Industrial Database alongside the Pakistan Bureau of Statistics (PBS) and provincial bureaus.
The system will compile industrial data by area, sector, and gender, following international statistical standards.
Expanding E-Commerce Access for Exporters
The draft policy also outlines collaboration between the Ministry of Commerce and the Trade Development Authority of Pakistan (TDAP) with international online marketplaces to expand e-commerce access for exporters.
MSMEs and artisans will be onboarded to the Pakistan Trade Portal and other global platforms through B2B, B2C, and B2B2C models. EXIM Bank will support the initiative by facilitating overseas warehouses for e-commerce exporters.
Digitizing Trade Dispute Resolution and Record-Keeping
Trade dispute resolution will also become digital. The Trade Dispute Resolution Organization (TDRO), together with Pakistan’s trade missions, will launch an online portal for registration, tracking, and risk profiling of trade complaints to ensure swift, transparent settlements.
Additionally, the Directorate General of Trade Organizations (DGTO) will digitize records of trade bodies and link them with the Pakistan Single Window (PSW) to improve coordination with policymakers and stakeholders.
Embracing digital technologies and e-commerce will help modernize Pakistan’s textile and apparel sector, reduce inefficiencies, and strengthen participation of exporters, particularly MSMEs, in global value chains.
Author Profile
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Muhammad Faisal is a journalist based in Islamabad who covers business, railway, and commerce sectors of Pakistan.
His reporting focuses on infrastructure, economic policy, and how national developments impact everyday life.
