Ashfaq Textile Mills Ltd has announced the suspension of operations of 85 Sulzer looms at its Faisalabad production facility due to deteriorating market conditions, according to a notice submitted to the Pakistan Stock Exchange (PSX) on Thursday.
The decision was approved by the company’s Board of Directors in a meeting held on December 11, 2025. The suspended units represent roughly one-third of the mill’s total installed capacity of 243 Sulzer looms at its plant located on Faisalabad–Jaranwala Road.
The company stated that the reduction in production capacity is intended to prevent forced sales of fabric at unfavourable prices, as demand for woven fabrics has significantly weakened.
Ashfaq Textile Mills also informed the exchange that it is evaluating various strategic alternatives to manage the current market downturn.
Pakistan’s textile industry, long considered the backbone of the country’s manufacturing base, has come under mounting strain as soaring electricity and gas tariffs sharply raise production costs. A web of layered taxes has added further pressure, pushing several mills to scale back, and in some cases, halt operations altogether.
In July this year, Ideal Spinning Mills Limited became another casualty of the sector‑wide squeeze, when the firm announced the closure of its core spinning division and the planned sale of most of the segment’s plant and machinery.
The company’s board, on 11 July 2025, approved the sale/disposal of the spinning segment’s major portion of plant and machinery. Management cited “unfavourable market conditions” and “rising costs of operations” that have rendered the yarn‑manufacturing unit loss‑making for several quarters.
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