Gillette Pakistan’s parent company, Procter & Gamble (P&G), has announced its exit from Pakistan as part of a global restructuring plan. The decision has raised concerns about the country’s business environment and future investment prospects, especially at a time when Pakistan is aiming for economic revival.
In a notice to the Pakistan Stock Exchange (PSX), Gillette Pakistan Limited shared that P&G communicated this decision to its board. The company said the move is part of a worldwide strategy to reshape its portfolio, supply chain, and organizational model to achieve faster growth and deliver higher value.
The PSX filing added that a meeting of Gillette Pakistan’s Board of Directors will be convened soon. The board will evaluate the required actions for discontinuation of the business, which may include the de-listing of Gillette Pakistan Limited from the stock exchange. The company also confirmed that it will comply with all applicable legal and regulatory requirements.
P&G, founded in 1837, is a global consumer goods giant known for popular brands such as Pampers, Tide, Head & Shoulders, and Gillette. The company stated it will wind down local manufacturing and commercial operations but will continue serving Pakistani consumers through a third-party distributor model.
Operations will continue in the normal course until the transition is complete, which may take several months. Employees affected by the exit will either be considered for roles abroad or offered separation packages according to local laws and company policies.
This development follows a growing trend of multinational companies exiting Pakistan. Recently, Careem suspended its ride-hailing services due to economic challenges and strong competition. Microsoft also announced a full shutdown of operations in the country, while more than fifty startups have either closed down or shifted their business models.
The exit of Gillette Pakistan highlights increasing challenges for foreign investors in the country and signals the need for structural reforms to attract and retain global businesses.
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