First expansion in four years driven by strong performance in key mineral outputs
The Mining and Quarrying sector of Pakistan has recorded a marginal growth of 0.4 percent during the fiscal year 2025-26, according to the Pakistan Economic Survey 2025-26.
This modest recovery marks the first positive expansion in the sector after four consecutive years of contraction, with the last period of growth observed in FY2021.
Despite remaining weak overall, the latest figures indicate early signs of stabilization in mineral extraction activities across the country.
During the period July to March FY2026, several minerals showed strong upward momentum, contributing to the sector’s overall recovery.
Magnesite production surged by 164.8 percent, followed by rock salt at 109.9 percent and gypsum at 67.0 percent.
Significant increases were also observed in iron ore, which rose by 41.5 percent, ocher at 31.7 percent, limestone at 25.1 percent, and coal production, which grew by 6.5 percent. These gains reflect improved extraction efficiency and higher demand in selected industrial segments.
However, the sector also faced notable declines in several key resources. Sulphur production dropped sharply by 68.0 percent, while chromite fell by 51.3 percent.
Soapstone decreased by 24.7 percent, barytes by 20.7 percent, natural gas by 3.7 percent, and crude oil by 0.6 percent.
These downturns highlight persistent structural challenges, including fluctuating demand, operational constraints, and resource depletion in certain mining areas.
Overall, the mixed performance of the mining sector suggests a gradual but uneven recovery trajectory. While non-metallic minerals showed strong gains, energy-related outputs remained under pressure.
Experts believe that sustained investment in exploration, modernization of mining technology, and policy support will be essential to convert this marginal growth into a stronger long-term recovery for Pakistan’s resource sector.