Karachi, May 14, 2025 – Pakistan’s once vibrant gem and jewellery export sector has come to an abrupt standstill following a recent and unexpected move by the federal government.
The sudden suspension of SRO 760(1)/2013, the critical regulatory framework governing the legal export of gold and jewellery, has sent shockwaves through the industry. Exporters are now facing a state of limbo, with millions of dollars worth of consignments stranded and crucial international contracts hanging in the balance, igniting widespread alarm.
The Pakistan Gems Jewellery Traders & Exporters Association (PGJTEA) has urgently appealed to Prime Minister Muhammad Shehbaz Sharif, imploring for the immediate reinstatement of the vital SRO 760(1)/2013. This plea follows the Ministry of Commerce’s unforeseen decision to suspend the framework for the next two months, a move the association argues has severely disable their operations.
In a formal letter addressed to the Prime Minister, the PGJTEA voiced profound concern over this unilateral decision. The association emphasized the severe disruption it has caused to the organized and compliant gold jewellery export sector. PGJTEA Chairman Imran Khan Tessori stated emphatically, “This unexpected move has placed our legitimate and transparent export operations in grave jeopardy, leaving significant consignments stranded, threatening our existing contracts, and severely damaging Pakistan’s hard-earned export credibility.”
Mr. Tessori further revealed the staggering impact of the suspension, noting that export consignments valued at an estimated $50–60 million are currently ready for shipment but are now unable to proceed due to the abrupt suspension of SRO 760(1)/2013. He underscored the critical timing of this disruption, highlighting that at a moment when the nation is in dire need of foreign exchange reserves, impeding legal exports is an illogical and counterproductive action.
The PGJTEA sought to clarify the operational integrity of its members, asserting that they have consistently adhered to the legal framework. They emphasized their exclusive use of authorized channels for gold imports, their strict avoidance of grey market practices, and their unwavering focus solely on exports, with no involvement in the domestic market.
The association stressed the inherent unfairness of the suspension, arguing that it unjustly penalizes law-abiding exporters while likely having minimal impact on illicit activities that operate entirely outside the purview of SRO 760(1)/2013.
Highlighting the significant economic repercussions, the PGJTEA cautioned that this suspension arrives at a precarious juncture when Pakistan is actively striving to bolster its exports and stabilize its foreign exchange reserves. “This sudden policy reversal carries the significant risk of triggering a further decline in our nation’s exports and severely undermines the livelihoods of thousands of individuals employed within the formal jewellery sector,” the association’s letter articulated.
PGJTEA Chairman Imran Khan Tessori has directly requested the Prime Minister’s immediate intervention to reinstate SRO 760(1)/2013. This urgent action is deemed essential to ensure business continuity and facilitate the clearance of all pending shipments and transactions, thereby mitigating substantial financial losses and potential legal ramifications for exporters.
Furthermore, Mr. Tessori has advocated for the inclusion of a PGJTEA representative in any investigative committee formed to review the matter. This inclusion, he argues, would ensure a fair and transparent review process and empower the committee to propose targeted amendments that effectively address any misuse of the SRO without inflicting harm on compliant exporters.
While expressing their support for the government’s efforts to strengthen regulation and accountability within the sector, the association cautioned against implementing blanket measures that inadvertently disrupt legitimate trade. They earnestly urged the Prime Minister to take swift action to restore confidence within the exporting community, prevent avoidable economic damage, and reaffirm Pakistan’s standing as a reliable partner in international markets.
The PGJTEA concluded their letter with a pressing call for “prompt action in the national interest,” expressing their firm trust in the Prime Minister’s leadership to guide the country’s trade policy towards a more balanced and export-friendly trajectory.