Article
KARACHI — Procter & Gamble (P&G) has announced it will wind down its manufacturing and commercial operations in Pakistan and transition to serving the market via third-party distributors as part of a global restructuring programme. The company said the phased transition will take place over several months while regional teams coordinate the change. Reuters+1
P&G’s portfolio in Pakistan — including brands such as Pampers, Ariel, Always, Safeguard, Head & Shoulders, Pantene, Olay and Vicks — will continue to be available in the market, the company said, but distribution and commercial responsibilities will move away from locally owned manufacturing and sales teams. The company has not disclosed the exact number of manufacturing sites or employees affected. Dawn+1
Gillette Pakistan and delisting plans
Gillette Pakistan — the listed unit associated with P&G’s razors business — has resolved to initiate an orderly business-closure process and is preparing for voluntary delisting from the Pakistan Stock Exchange. The majority shareholder, Series Acquisition B.V., which controls more than 90% of Gillette Pakistan, intends to acquire the remaining public float through a buyback process under PSX rules. Profit by Pakistan Today+1
Impact on employees and the business community
P&G said impacted employees will be offered opportunities in other P&G markets where possible, or will receive separation packages consistent with local law and company policy. The announcement prompted concern among business groups: the American Business Council warned the move could lead to job losses and harm Pakistan’s image as an investment destination, while commentators called it a warning sign for the country’s investment climate. The Express Tribune+1
Former ICAP president Asad Ali Shah described P&G’s exit as “another red flag for the investment climate,” arguing that policy unpredictability, currency risk and regulatory challenges are discouraging multinational investment. X (formerly Twitter)
What retailers and consumers should expect
In the short term, P&G brands are expected to remain on Pakistani shelves supplied via third-party distributors and regional channels. Industry sources, however, caution that a distributor model can affect local availability, price stability and the pace of new product launches compared with a locally based manufacturing and direct-commercial model. Retailers may also see changes to ordering, logistics and account management as responsibilities transfer to third-party partners. The Express Tribune+1
Policy implications
Analysts say P&G’s shift highlights broader structural challenges — including operating costs, regulatory friction and macroeconomic instability — that policymakers must address to restore investor confidence. The company framed the change as part of a wider effort to accelerate growth and simplify its global operations, a process that has included similar reconfigurations in other markets. Dawn+1
External links / further reading
(Click the source name to open the reporting used to prepare this article.)
Profit (Pakistan Today) — Gillette Pakistan board plans voluntary delisting from PSX after P&G exit. Profit by Pakistan Today
Dawn — P&G halts production operations in Pakistan. Dawn
Reuters — Gillette Pakistan to consider delisting as part of P&G restructuring. Reuters
The Express Tribune — P&G to shut manufacturing in Pakistan, moves to third-party distribution model. The Express Tribune
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