Karkhano Market is a large wholesale and retail market in Hayatabad, on the western edge of Peshawar, built around imported goods brought in through Afghan transit trade. It is open daily except Friday, roughly 9 am to 9 pm, and everything is negotiable. It is also a much quieter market than it was a decade ago, so it pays to know what to expect before you go.
This guide covers what Karkhano actually sells now, how to bargain there, timings, and why the market has changed.
| At a glance | |
|---|---|
| Location | Hayatabad, western edge of Peshawar, near the road to the Khyber Pass |
| Founded | 1986 |
| Hours | Roughly 9 am to 9 pm, Saturday to Thursday |
| Closed | Friday |
| Getting there | BRT (Zu Peshawar) to the Karkhano terminus, or a taxi or rickshaw |
| Payment | Cash, and bargaining is expected on almost everything |
What Karkhano is
Karkhano, from a Pashto word for "industries," opened in 1986 as an outlet for goods brought across the Afghan border under transit trade arrangements, and for years it was known across Pakistan as the country's largest "bara market": a place to buy imported electronics, fabric, perfume and household goods at prices well below what shops elsewhere charged, some of it through informal or untaxed channels. It grew into a sprawling complex of dozens of sections and well over a thousand shops.
That reputation is part of why it still draws visitors, including shoppers who travel from other provinces specifically to see it. The market you find today, though, is smaller and quieter than the one that reputation describes.
What has changed
Karkhano's business has declined significantly in recent years, for reasons connected to the wider region rather than the market itself. Tighter control of the Pakistan–Afghanistan border, disruption to cross-border trade since the Taliban took power in Afghanistan in 2021, and fewer buyers travelling from other provinces have hit shopkeepers hard; some sections report roughly half their shops standing empty. The Torkham crossing west of Peshawar, the main route much of this trade used, has also been largely closed to ordinary traffic since October 2025 amid the wider border conflict, adding to the slowdown.
None of this means Karkhano has closed. It remains a working market with a real range of goods, just not the booming bazaar of its older reputation. Go expecting a big, workaday market with bargains to be found, not a spectacle.
What to buy
Karkhano still covers a wide range of imported and wholesale goods, though the mix has shifted over time towards more conventional retail:
- Electronics and mobile phones, along with accessories and components, sold by traders who deal in volume.
- Perfumes and cosmetics, including well-known international brands at prices lower than mall retailers.
- Fabric, shawls and clothing, including some Central Asian and Afghan textiles.
- Dry fruit and household goods, sold in bulk sections aimed as much at other traders as at individual shoppers.
- General imported items, from kitchenware to tools, that vary shop by shop and change with what is currently coming through.
Because the market's stock depends on what is currently crossing the border, what is available can vary noticeably from one visit to the next. Treat a shopping list as a guide, not a guarantee, and be open to what is actually on the shelves.
How to bargain
Prices at Karkhano are opening offers, not fixed prices, and almost everyone bargains.
- Get a sense of the price by asking at two or three stalls selling the same item before committing.
- Start well below what you are willing to pay, and expect to meet in the middle after a few rounds of back and forth.
- Be willing to walk away. It is the most effective way to test whether a price is final, and shopkeepers will often call you back with a better offer.
- Check goods carefully before paying, especially electronics, since return policies are informal at best.
- Carry cash in small denominations. Cards are not reliable across the market.
Trade is generally quieter, and traders more willing to negotiate, early in the morning or after about 5 pm, once the midday heat and crowds have eased.
Getting there
Karkhano sits at the western end of Hayatabad, on the road towards the Khyber Pass, and is the final stop on Peshawar's BRT line, known locally as Zu Peshawar, which makes it an easy and cheap way to reach the market from most of the city. A taxi or rickshaw is the alternative if you are coming from a hotel in Saddar or University Town.
It is a long way from the old city on the opposite side of Peshawar, so plan it as its own outing rather than trying to combine it with a walk through Qissa Khwani on the same trip. Our guide to places to visit in Peshawar sets Karkhano alongside the city's other sights for planning a fuller visit, and our guide to shopping in Peshawar covers the city's other markets.
Is it worth the trip?
Worth it for anyone who enjoys markets for their own sake, or who wants a specific category of goods, electronics or fabric especially, at prices worth the bargaining. It is less worth a special trip if your main interest is Peshawar's history and food, since Karkhano is a long way from the old city and the market itself has thinned out compared with its reputation.
Go with time to browse and bargain rather than a tight schedule, and treat anything specific on your list as a possibility rather than a certainty.
Frequently asked questions
What can you buy at Karkhano Market?
Mainly electronics, perfumes and cosmetics, fabric and clothing, and dry fruit and household goods, much of it originally brought in through Afghan transit trade. Stock varies with what is currently crossing the border.
Is Karkhano Market still worth visiting?
Yes, though it is quieter than its old reputation as Pakistan's largest smugglers' market suggests. Border controls and disruption to Afghan trade have thinned it out, but it remains a large working market with real bargains.
What are Karkhano Market's timings?
Roughly 9 am to 9 pm, Saturday to Thursday, and closed on Fridays. Early morning and after about 5 pm tend to be quieter and better for bargaining.
Is bargaining expected at Karkhano Market?
Yes, on almost everything. Prices are opening offers, and shopping across a few stalls before committing gives you a sense of a fair price.
How do I get to Karkhano Market from central Peshawar?
The BRT (Zu Peshawar) runs to Karkhano as its final stop, or take a taxi or rickshaw, especially from hotels in Saddar or University Town.
Is it safe to visit Karkhano Market?
Karkhano is close to the road towards the Khyber Pass and the Afghan border, an area that has seen periodic unrest. The UK government currently advises against all travel to Peshawar as a whole; shop in the daytime, keep valuables out of sight in the crowds, and check the current situation before you go. See our guide on whether Peshawar is safe for more.