Power-loom units are shutting down in droves, raising unemployment and social precarity.
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n Iqbal Nagar neighbourhood of Multan, the rattle of power-looms greets all visitors the moment they enter its narrow streets. Small factories operate side by side in almost every street. These factories employ entire families in the area.
Residents say the rattle of the machines has long been a part of their lives. Many have grown so accustomed to it that they find silence unsettling. “If the looms stop,” one of them says, “we cannot sleep peacefully.”
While some of factories continue to operate - their machines producing cloth and keeping workers employed - others stand locked, even abandoned. In many cases, rising costs have forced the owners to close their businesses.
Workers say thousands of power-looms businesses in Multan are struggling as soaring electricity tariffs have raised production costs to a point where the operation is no longer sustainable.
Two years ago, an estimated 500,000 workers were directly employed by more than 100,000 power-looms across the city. Rising energy costs have forced the closure of more than 20,000 looms. Some of the owners have been forced to sell the machinery as scrap.
Naseer Ahmed, slowly climbs the stairs to his home. He is carrying milk in a plastic bag. The small factory he once operated on the ground floor stands closed. Over the past few months, he has sold the four machines that had constituted the factory.
He says most of the similar factories have shifted to solar power, a transition he was unable to make for lack of capital. Now, he says, he is also struggling with health issues, including diabetes.
Naseer says many small factories in the street have closed down. Some of the factory owners have started selling vegetables or set up tea stalls.
“Everyone has moved on to what seemed the best bet for survival,” he says.
Zeeshan Kareem Bhutta, a factory owner in Iqbal Nagar, employs more than 50 workers. Standing inside his workshop, he points to rows of idle machines.
“The cost of energy has been the main issue for the industry for many years,” he says. “Earlier we could run 50 or 60 looms at a time. Now it is difficult to operate even 10 or 12.”
Bhutta says the power-looms had supported many households. A single worker often provided for an extended family. He says the industry has been a critical source of livelihood in the city.
With costs rising and profits shrinking, many of the owners see few options. “If the costs cannot be covered, people start selling their machines and locking down the premises,” he says.
Abdul Khaliq Qandeel Ansari, central president of the All Pakistan Powerlooms Association, says the sector began to expand during the Ayub Khan era, when production gradually shifted from traditional handlooms to mechanised power-looms.
“Before that, most of the textile production had been on hand-operated looms,” he says.
The industry reached its peak during the Zulfiqar Ali Bhutto era, when textile manufacturing expanded significantly and the power-loom sector flourished.
In recent years, however, financial pressures have intensified. Ansari says the industry began facing serious difficulties during the previous government’s tenure as electricity costs surged.
“In 2018, we were experiencing up to 18 hours of load-shedding,” he recalls. “At that time, the business had almost collapsed.”
Powerloom owners and workers, he recalls, staged protest demonstrations after which the government provided some relief. Then the electricity tariffs rose sharply.
“Electricity that once cost around Rs 15 per unit now costs Rs 70, even Rs 80 per unit,” Ansari says. “Operating at these rates became extremely difficult.”
Facing rising costs and unreliable electricity supply, many of the manufacturers started installing solar energy units. However, the transition required significant investment. At the time, a single solar panel cost around Rs 80,000. The was beyond the reach of most small-scale factory owners. Those with financial resources managed to install solar systems; others were forced to make difficult choices to finance the shift.
“Some people sold their power-looms and family silver to install solar panels,” Ansari says. “Those who could not afford it sold their machines as scrap and shut down the factories.”
Most of the solar systems, he says, were installed without any assistance or loans provided by the government.
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olar power helped many factories remain in business. However, recent policy changes have created fresh anxieties for the industry.
Recently, the government moved to terminate the existing net-metering regime for solar pro-sumers and replaced it with a net-billing system. The new arrangement made the economics of solar energy far less favourable.
“We buy electricity from the government for around Rs 50 or Rs 60 per unit. When they purchase electricity from us, they pay only about Rs 11,” says Ansari.
Industry representatives say that such policy changes will discourage further investment in renewable energy. “We were falling behind India and Bangladesh,” Ansari says. “Policies like this could push us further back.”
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n a small factory where only the lights fixed to the machines are on, Mushtaq Ahmed operates six looms at once. Threads move rapidly through the frames, producing a constant rattling sound that fills the factory. After a while, he switches the machines off and sits down to talk.
He points toward the entrance of the workshop.
“Do you see the bicycle parked outside?” he asks. “It is broken. I use it for the daily commute to the factory.”
20 years ago, he says, he had arrived in Multan from Larkana with rich savings and invested the money in the growing power-loom industry.
“I had some money. I saw these machines everywhere,” he recalls. “I thought I should join this work as well.”
With his savings, he bought six looms and started a small factory of his own. For years, the machines ran steadily and the business sustained his household.
But then the conditions changed. Rising electricity bills, prolonged power outages and shifting government policies made it increasingly difficult to keep the business running.
“Sometimes there were problems with electricity bills, sometimes there was load-shedding.”
In the end, Mushtaq was forced to shut down his factory.
“I used to own a factory,” he says. “Today I work at someone else’s factory.”
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nsari says nearly 100,000 people in Multan have been directly affected by the crisis in the power-loom sector over the last two years. The impact extends far beyond factory floors. Suppliers, traders, transporters and exporters linked to the industry, have all felt the ripple effects of the slowdown.
“For decades, the industry was a ladder of opportunity for low-skilled workers. Many began as labourers, gradually saving enough money to purchase a few machines and establish small factories of their own. In a city where employment opportunities are limited, the power-loom sector allowed workers to transform into small-scale entrepreneurs.” Ansari says.
Today, as energy costs continue to rise, operating even a small unit is increasingly difficult. Some manufacturers have managed to survive by investing heavily in solar power systems, often at considerable personal cost. Others have been forced to abandon the work altogether.
The writer is a freelance multimedia journalist in Multan.