Food, machinery imports fuel 26% deficit spike

The Express Tribune reported that Pakistan's trade deficit widened by 26% in July, the first month of fiscal year 2026-27, mainly because imports rose 19%. Citing data from the Pakistan Bureau of Statistics, the paper said imports of food, vehicles, transport equipment and machinery recorded strong growth. Food imports in July 2026 totalled $805.4 million, a value the report put at more than Rs224 billion.

Within food, imports of milk, cream and infant milk food climbed 25% to $18.7 million. Palm oil, pulses, soybeans and spices also featured in the import mix, and sugar shipments totalled 112 metric tonnes. Machinery imports rose 41% to $1.31 billion, covering power generation, office, textile, agriculture, construction and telecom equipment. Shipments of vehicles and related transport gear advanced 40% to $420 million, while raw cotton and other textile products rose 15%, reaching $680 million.

Imports of farm equipment and chemicals grew 23%, lifting the import bill above $1 billion. Metals such as gold, steel and iron also expanded 23%, while precious metals alone pushed their import bill beyond $730 million.