PAKISTAN HOSIERY MANUFACTURERS & EXPORTERS ASSOCIATION
PHMA House, 37-H, Block-6, P.E.C.H.S, Karachi.
Tel: 0092-21-34522769, 34522685, 34544765
To: All Members of the Association
(Southern & Northern Zone)
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Ref. No. PHMA/017/2026
Dated: 20th July 2026
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Subject: EU GSP+ ASSESSMENT REPORT
(2023–2025) – INFORMATION AND ADVISORY FOR PHMA MEMBERS
Dear Members,
The Pakistan Hosiery Manufacturers & Exporters Association (PHMA) wishes to
inform its valued members that the European Commission has issued the GSP+
Assessment Report for Pakistan covering the period 2023–2025.
Key Highlights of the Report:
1. Pakistan remains the largest beneficiary of the EU
GSP+ Scheme.
2. Strong Export Performance
* Pakistan’s GSP+-eligible exports
to the European Union reached approximately EUR 7.5 billion in 2024.
* The estimated benefit from
preferential tariff treatment amounted to approximately EUR 732 million.
3. Recognition of Progress
The European Commission acknowledges
Pakistan’s progress in implementing commitments under the 27 international
conventions covering:
* Human Rights
* Labour Rights (ILO Conventions)
* Environment and Climate
* Good Governance
4. Positive Developments Identified
The report recognizes improvements in:
* Labour legislation and
institutional reforms
* Measures against child labour and
forced labour
* Protection of women and children
* Human rights framework
* Environmental governance
* Anti-corruption initiatives
5. Areas Requiring Further Improvement
The report also identifies challenges
relating primarily to the effective implementation and enforcement of existing
laws and reforms, including:
* Rule of law
* Judicial independence
* Freedom of expression
* Protection of human rights
* Enforcement of labour laws
* Institutional governance and
regulatory effectiveness
6. Future GSP+ Framework
The European Commission emphasizes
that legislative reforms should translate into measurable implementation on the
ground, particularly in light of the revised EU GSP framework expected to take
effect from 2027.
PHMA Advisory to Members:
Considering the strategic importance of the EU GSP+
Scheme for Pakistan’s textile and apparel exports, PHMA advises its members to
remain informed and commercially prepared for any future developments.
Members are encouraged to:
* Evaluate the potential customs duty implications in the
event of any future modification, suspension, or withdrawal of GSP+
preferences.
* Assess the possible impact on product pricing,
competitiveness, profitability, and existing or future export orders.
* Review contractual arrangements with EU customers where
appropriate.
* Maintain constructive communication with European
buyers regarding possible tariff implications and mutually acceptable
commercial arrangements.
* Continue strengthening compliance with international
labour, environmental, and governance standards to enhance long-term market
confidence.
PHMA will continue to:
* Closely monitor developments relating to Pakistan’s
GSP+ status.
* Engage proactively with the Government of Pakistan, the
European Union, and other relevant stakeholders.
* Advocate for the continued availability of GSP+
preferences in the best interests of Pakistan’s value-added textile and apparel
sector.
The European Commission’s GSP+ Assessment Report
(2023–2025) is enclosed with this circular for members’ information and review.
Best Regards,
PHMA
