Premium Textile Mills Limited, a Pakistan Stock Exchange listed textile manufacturer, has announced plans to establish a wholly owned subsidiary in the United Arab Emirates, signaling a strategic move to expand its international footprint. The development reflects a growing trend among Pakistani corporates that are seeking access to regional and global markets by setting up operations in business friendly jurisdictions. Premium Textile Mills is primarily engaged in the manufacturing and sale of cotton and polyester yarn, supplying both domestic and export oriented clients.
In a formal notice submitted to PSX on December 8, 2025, the company informed investors that its board of directors had approved the establishment of the UAE based subsidiary through a circular resolution. While the company did not disclose the operational timeline or capital allocation for the new entity, the move is viewed as part of a broader effort to strengthen overseas presence, improve supply chain efficiency, and explore new commercial opportunities. Market participants note that a physical presence in the UAE can help Pakistani manufacturers engage more closely with international buyers, logistics providers, and financial institutions, while also benefiting from streamlined trade and regulatory processes.
The announcement comes shortly after Premium Textile Mills made a significant investment in renewable energy by initiating a 7.5 megawatt wind turbine project. The project underscores the company’s focus on sustainability and cost optimization at a time when energy prices and environmental compliance have become key considerations for textile exporters. Industry analysts suggest that investments in clean energy can enhance competitiveness by reducing long term operating costs and meeting sustainability expectations of global apparel brands. Combined with international expansion plans, the renewable energy initiative positions Premium Textile Mills as a company seeking stable and diversified growth rather than relying solely on domestic market dynamics.
Premium Textile Mills is not alone in turning toward the UAE as a base for regional operations. Several Pakistani companies have announced similar expansions in recent months, reflecting growing confidence in cross border business strategies. Zarea Limited established a subsidiary in Dubai in July, while Ismail Industries Limited set up operations in Abu Dhabi in June. Treet Corporation also entered the UAE market by launching Treet Trading LLC in Dubai. Business experts point out that the UAE’s efficient payment mechanisms, well developed logistics infrastructure, and predictable legal environment make it an attractive destination for Pakistani firms looking to manage international trade, distribution, and financial flows more effectively.
The UAE has increasingly emerged as a preferred hub for South Asian companies seeking proximity to Middle Eastern, African, and European markets. For Pakistani manufacturers in particular, it offers opportunities to diversify revenue streams, mitigate country specific risks, and build relationships with global clients in a neutral commercial setting. Observers believe that as more PSX listed companies establish offshore subsidiaries, transparency and disclosure will remain important to ensure investor confidence. Premium Textile Mills’ decision to formally notify PSX of its board approved plan aligns with regulatory expectations and provides shareholders with visibility into the company’s strategic direction as it pursues growth beyond Pakistan’s borders.
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