Procter & Gamble (P&G), the global consumer goods giant, has announced it will wind down its manufacturing and commercial operations in Pakistan, including those of Gillette Pakistan Ltd. The multinational plans to maintain the availability of its products in the country through a third-party distributor model, marking a significant shift in its local business strategy.
The decision is part of P&G’s global strategy to accelerate growth and create additional value for the company. According to official statements, the company will continue normal operations in Pakistan during the transition period, which is expected to take several months. The transition will begin immediately, with an emphasis on supporting affected employees. Staff whose roles are impacted will be considered for positions in other P&G operations abroad or will receive separation packages aligned with local labor laws and company policies.
This move follows P&G’s broader global restructuring plan announced in June, which involves reducing the company’s brand portfolio and cutting up to 7,000 jobs worldwide over a two-year period. These measures were undertaken in response to rising trade tariffs and weakening consumption trends across key markets. After reviewing various options for its Pakistan operations, P&G concluded that working with a third-party distributor is the most practical way to continue serving consumers while optimizing resources.
Gillette Company LLC formally notified Gillette Pakistan Limited and its Board of Directors about P&G’s decision, highlighting that the step is part of a global effort to accelerate growth and value creation. In response, Gillette Pakistan Limited is expected to convene a Board meeting to review the steps required for winding down operations, which may include the potential de-listing of the company from the Pakistan Stock Exchange. All measures will comply with applicable legal and regulatory requirements.
The revenue of Gillette Pakistan has seen a sharp decline, nearly halving in the fiscal year ending June 2025, after reaching a record Rs. 3 billion two years earlier. Despite the operational exit, P&G’s products will remain available in Pakistan through regional operations and local distributors, ensuring continuity for consumers.
P&G expressed gratitude to its employees, partners, and consumers for their support over the years, noting that their contributions helped the company establish a strong presence in Pakistan. The exit makes P&G the latest multinational to scale back operations in the country, joining other global companies such as Shell Plc, Pfizer Inc., TotalEnergies SE, and Telenor ASA, which have either sold stakes or reduced their presence in recent years.
P&G first entered Pakistan in 1991 and quickly became a household name with brands including Pampers, Safeguard, Ariel, Head & Shoulders, and Pantene. The company expanded its local footprint with a soap plant acquisition in 1994 and a detergent factory in 2010. Last year, P&G sold its soap manufacturing facility to Nimir Industrial Chemical Ltd., foreshadowing the current operational transition.
The shift to a distributor-based model reflects broader trends among multinational corporations in Pakistan, balancing local market engagement with global restructuring strategies and evolving consumer demand dynamics.
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