KARACHI: After contracting by 30.26 per cent in FY26, the country`s pharmaceutical exports continued to decline, falling 25.53pc in value in the first quarter of 2026-27.

The industry largely attributes the drop to disrupted trade with Afghanistan, once one of the country`s main medicine markets.

Pakistan Bureau of Statistics data showed that pharmaceutical exports fell to $319.012m in FY26 from $457.456m in FY25, a drop of $138.444m, while export volumes declined 26.14pc to 83,104 tonnes from 112,517 tonnes.

Pharmaceutical exports remained under pressure in the first quarter of FY27, with proceeds falling 25.53pc to $73.301m from $98.428m in the same period last year.

Export volumes fell 31.40pc in the first quarter of FY27, dropping from 23,924 tonnes to 16,410 tonnes, a reduction of 7,514 tonnes, showing a sharper decline in quantity than in value in both periods; average export value per tonne rose about 8.6pc in the first quarter, from around $4,115 to $4,469, but fell5.6pc in FY26, from roughly $4,065 to $3,838, with these averages reflecting changes in the mix of products exported rather than necessarily changes in medicine prices. Exports of surgical goods and medical instruments, which are not included in these figures, rose 8.8pc to $121m in the first quarter of FY27 and remained unchanged at $451.527m for FY26.

Afghanistan was once a major market for Pakistani medicines. Data on TDAP`s Pakistan Pharma Portal, sourced from PRAL, showed that Pakistan exported $155.68m worth of medicines to Afghanistan in FY25, accounting for about 34.1pc of the country`s total pharmaceutical exports of $457.456m that year.

Former Pakistan Pharmaceutical Manufacturers Association (PPMA) Chairman Taugeer ul Haq said the suspension of trade with Afghanistan had caused heavy losses for pharmaceutical companies and the national exchequer.

He added that Afghan patients were also suffering as they had to turn to more expensive medicines.

He said the PPMA had raised the issue with the government, and Planning Minister Ahsan Iqbal had promised to discuss it with the relevant authorities and look for ways to restart Pakistani medicine exports. However, he said there had been little serious follow-up.