SPORTS GOODS
Sector Overview
Sports goods sector is considered one of the main export earning sectors of Pakistan. Around 400,000+ strong workforce is engaged in the sector. More than 90% of production is exported to international brands. Major products include Soccer ball, Hockey, Basketball, Cricket Bat, Cricket and Hockey Balls, and Sportswear etc. Products that are demanded in high quantity and valued for top quality across the globe are mentioned below. Pakistan’s total exports of this sector amount to 404.8 Million USD (2023).
Table 1: Sports Goods Industry: An Economic Outlook (2022 ~ 23)
|
Indicator |
Performance |
|
Contribution to GDP |
0.12% |
|
Number of Manufacturing Units |
Approximately 3,900 Units (over 2,300 SMEs) |
|
Employment |
Skilled Employment: 200,000 – 250,000 |
|
Total Export Value |
404.8 Million USD |
|
Contribution to Pakistan’s Exports |
1.46% |
|
Share in World’s Exports |
0.9% |
|
Ranking in World’s Exports |
22 |
|
Compound Annual Growth Rate (2014-2023) |
-2.66% |
|
Production Quantity Export |
49 million pcs (approx.) |
|
Estimated No. of SMEs |
6,000 (approx.) |
|
Percentage of Total Production Exported |
Over 90% |
|
Production Capacity Utilization |
85% ~ 90% |
Sports Goods Manufacturing Clusters
In Pakistan, the sports goods industry is primarily centered in Sialkot city. Sialkot has gained international recognition as a producer of high-quality sports goods, surgical instruments, leather goods, sportswear, and musical instruments. The local craftsmen are renowned for their exceptional craftsmanship.
The industry directly or indirectly employs over 200,000 individuals, and the city's annual export earnings amount to approximately USD 900 million. Notably, Sialkot plays a pivotal role in meeting global demand for hand-stitched inflatable balls, accounting for approximately 60% of the world's production, which translates to around 39 million balls annually. Pakistan's exports in this product category represent 11.3% of the world's total exports.
Pakistan’s Export Potential of Sports Goods
In summary, the sports goods cluster in Pakistan's Sialkot city offers a competitive advantage through its concentration of skilled craftsmanship, international brand partnerships, strong export orientation, and financial support. The cluster's ability to produce a significant share of the world's hand-stitched inflatable balls further solidifies its position in the global sports goods industry. With the global sports market poised for significant growth—valued at USD 341 billion in 2022 and projected to reach USD 611.27 billion by 2031—the potential for return on investment in Pakistan's sports goods industry is both promising and well-supported by the cluster's comprehensive infrastructure and export prowess.[3] Investors looking to capitalize on this growth would find a resilient and thriving environment in Sialkot's sports goods manufacturing sector, which stands as a testament to Pakistan's burgeoning prominence in the global sports economy.
