KARACHI – Canada-based apparel-maker and retailer Kanati Clothing Company has decided to leave in Pakistan, which is faced with about 6,700 MW shortfall, mainly due to the energy crisis and frequent disruption of the supply chain after doing business for six years.
Kanati Co-founder Liam Massaubi said, “There are numerous reasons that contributed to our inability to continue business in Pakistan. We have to meet strict deadlines but energy issues, transportation issues and continuous supply chain disruptions were creating problems for us.”
It was producing its label in Pakistan through its partners mainly in Lahore and Karachi. The entity also represents other small and medium-sized private labels that manufacture through it.
He said, “Pakistan has always been a great country for us to do business. We have developed some great partnerships over that time period but the ease of doing business has unfortunately been declining over the last year or so.”
Babar Khan, Pakistan Hosiery Manufacturers and Exporters Association Chairman, said that such issues do arise between foreign buyers and local manufacturers that may lead to a total breakdown in businesses. “Sometimes buyers put undue pressure on the manufacturers and sometimes apparel-makers do not abide by the conditions of the contracts. In this particular case, we cannot say anything specifically unless we listen to both the parties,” he added.