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As inflation has surged, the cost of daily essentials such as food and household items has skyrocketed, making it increasingly difficult for the average Pakistani to afford basic needs. This economic pressure has forced even those previously considered "high-income" individuals to turn to second-hand goods, particularly used clothing and other essential items. The rising demand for these products has led to a 33% increase in the import of used clothes, old blankets, and second-hand shoes between July and October 2010, with the total import volume rising by 29%.
Popular choices among local consumers include jackets, baby clothes, men's shirts, socks, and sweaters. These items are often preferred due to their affordability and quality. In response, the Pakistani government has imposed import duties ranging from 1% to 25%, along with a 6% income tax on these goods. Additionally, a 19% general consumption tax is applied to used toys and Kunbao (a type of traditional textile).
Currently, the primary sources of second-hand goods come from Europe, South Korea, Japan, and Australia. Given the growing market demand, Chinese authorities have the opportunity to organize and supply these goods more efficiently to meet the needs of the Pakistani population. By enhancing cooperation and streamlining logistics, China can play a key role in supporting this market while ensuring compliance with local regulations. This not only helps meet consumer demands but also strengthens bilateral trade relations.
With the right strategies in place, the second-hand goods sector could become a sustainable and profitable industry, offering affordable options to millions of people struggling with rising living costs.
October 06, 2025