ISLAMABAD: Pakistan's pharmaceutical exports fell 30.26% in fiscal year 2026 and declined a further 25.53% in value during the first quarter of fiscal year 2027, with industry representatives linking the downturn largely to the disruption of trade with Afghanistan, previously one of the country's biggest markets for medicines.
Pakistan exported pharmaceutical products worth $319.012 million in FY26, down from $457.456 million in FY25, according to Pakistan Bureau of Statistics data — a reduction of $138.444 million. Export volumes also fell 26.14%, from 112,517 metric tons to 83,104 tons, a decrease of 29,413 tons.
The decline continued in July-September FY27. Export earnings fell to $73.301 million from $98.428 million in the same quarter of FY26, a decrease of $25.127 million, or 25.53%. The quantity exported dropped 31.4%, from 23,924 tons to 16,410 tons, a reduction of 7,514 tons.
The figures show that export volume contracted faster than value in both periods. On a simple calculation, the average declared export value per ton rose by about 8.6% in the first quarter, from roughly $4,115 to $4,469. Across FY26, however, it fell by about 5.6%, from around $4,065 to $3,838. Officials said these averages can reflect changes in the mix of products exported and should not be read as a direct measure of medicine prices.
The figures exclude surgical goods and medical instruments. Their exports rose 8.8% to $121 million in the first quarter of FY27, while annual exports remained unchanged at $451.527 million in FY26.
Afghanistan had been a major destination for Pakistani medicines before the trade disruption. Destination-wise figures on the Trade Development Authority of Pakistan's Pakistan Pharma Portal, sourced from the Pakistan Revenue Automation Ltd., show exports of $155.68 million to Afghanistan in FY25 — equal to about 34.1% of Pakistan's $457.456 million in pharmaceutical exports that year.
The suspension of trade with Afghanistan has caused major losses for the pharmaceutical industry and the national exchequer. Afghan patients have also been affected, as they are being pushed toward more expensive medicines.
According to reports, counterfeit versions of well-known Pakistani medicine brands are being manufactured and sold in Afghanistan. Afghan consumers are familiar with and trust Pakistani brands, making the imitations particularly concerning.
