Procter & Gamble (P&G), one of the world’s largest household products companies, has decided to shut down its manufacturing and sales operations in Pakistan, including its subsidiary Gillette Pakistan Ltd.
In a major business announcement, Gillette Pakistan Limited informed investors that its parent company P&G will close its business in Pakistan as part of a worldwide restructuring plan. The company shared this news through an official notice to the Pakistan Stock Exchange (PSX) this week.
However, P&G products will not disappear from Pakistani stores. The company will switch to working with local distributors instead of running its own operations. Popular brands like Ariel washing powder, Pampers diapers, Head & Shoulders shampoo, Always sanitary products, and Gillette shaving items will still be sold through local partners. But questions remain about Gillette Pakistan Limited’s future as a listed company, with possible removal from the stock exchange.
The decision comes because of serious economic problems in Pakistan. Rising prices, the falling value of the rupee, and tough rules on foreign currency exchange have made business very difficult and expensive. These challenges pushed P&G to rethink its presence in the country.
Company officials said this move is part of P&G’s global review to focus on markets with better growth potential and more stable business conditions.
The closure will take several months. P&G promised to give fair compensation to affected workers and some employees may get chances to work at P&G offices abroad. This exit adds to a worrying trend of big international companies pulling back from Pakistan.
