Procter & Gamble (P&G), one of the world’s largest consumer goods companies, has announced its decision to discontinue its manufacturing and commercial operations in Pakistan, including those of Gillette Pakistan Ltd. The move underscores the mounting challenges faced by multinationals in the country amid weak consumer demand, regulatory hurdles, and global corporate restructuring.

Key Developments at a Glance

Factor	Details	Implications
Business Discontinuation	P&G to cease manufacturing and direct commercial operations in Pakistan, including Gillette Pakistan Ltd.	Marks the end of more than 30 years of direct presence.
Third-Party Distribution	P&G will continue serving Pakistani consumers via distributors.	Popular brands like Pampers, Ariel, and Gillette may remain available.
Global Restructuring	Part of a strategy to cut back its portfolio and reduce workforce by up to 7,000 jobs globally over two years.	Reflects broader corporate streamlining.
Economic Challenges	Restrictions on profit repatriation, weak demand, and inflationary pressures.	Contributed to exit and reduced profitability.
Revenue Decline	Gillette Pakistan’s revenue nearly halved in FY ending June 2025.	Indicates sustained financial stress.
Market Conditions	High operational costs, weak infrastructure, and regulatory burdens.	Driving multinationals away from Pakistan.
Employee Considerations	Options for overseas relocation or separation packages.	Attempts to soften workforce impact.
Industry Context	Multinationals like Shell, Pfizer, TotalEnergies, and Telenor have scaled back operations in Pakistan.	Highlights broader trend of foreign exits.
Company History	Entered Pakistan in 1991 with leading brands Pampers, Safeguard, Ariel, Pantene, Gillette.	Built a strong consumer presence over three decades.
Possible Delisting	Gillette Pakistan board to discuss discontinuation steps, including stock market delisting.	May affect investor sentiment.

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Consumer Impact: Which Products Remain?

While P&G will discontinue its local presence, it has confirmed that consumers will still have access to its products through third-party distributors. The most likely brands to remain on shelves include:

• Pampers (baby diapers)
• Safeguard (personal care)
• Ariel (detergents)
• Head & Shoulders (shampoo)
• Pantene (hair care)
• Gillette (razors and shaving products)

Availability, however, will depend on future distribution agreements and market demand.

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Why This Matters

P&G’s exit signals a larger issue: Pakistan’s deteriorating business environment for foreign investors. With rising operational costs, persistent currency issues, and consumer demand under pressure, multinationals are reassessing the viability of direct operations.

As P&G transitions to a distributor-led model, consumers may still see its products in the market, but the local economy loses the investment, jobs, and supply chain benefits that come with direct operations.