LSM decline.

THE hefty slump of 25pc in large-scale manufacturing in March - the biggest monthly drop since the Covid-19 shutdown - from a year ago, confirms that the decline in the sector, triggered by curbs on the import of raw material, steep currency depreciation, rising financing cost and, last but not least, contraction in domestic and international demand, is accelerating. New data from the Pakistan Bureau of Statistics shows that the LSM industry has contracted 8.1pc in the nine-month period from July to March - from a robust growth of 11.7pc in the previous fiscal year - as difficult economic conditions, responsible for factory shutdowns and production cuts, continue to bite producers more and more with each passing month.

The data is illustrative of a very painful period for industry as workers lose their jobs in large numbers. Output contraction in the manufacturing industry has been widespread and reflects a broad-based deceleration in economic activities as production in 19 sectors out of 20 shrank in the nine-month period.The textile industry, the country's largest employer after agriculture and the biggest earner of export dollars, has slumped by nearly 31pc from a year ago. Pharmaceutical and automobile industries have declined by over 28pc and 25pc respectively. The same is the case with the steel and chemical industries.

The decline in the...