The Ministry of Textile Industry Pakistan is looking for permission from the Economic Coordination Committee of the cabinet to lift the ban on importing cotton and cotton yarn from India.
The import of these raw materials will lead to a partial revival of India’s trade relations since August 2019, when Pakistan formally downgraded its trade relations.
The low-yield cotton bales in the country have paved the way for imports from India.
The government’s decision to consider lifting a ban from India came as a big relief for the value-added textile sector seeking access to cheap raw materials. As in-charge of the commerce and textile ministry, Prime Minister Imran Khan has already approved the summary to be placed before the ECC.
In a tweet, Pakistan Textile Exporters Association Chairman Khurram Mukhtar said that the import of raw cotton, yarn, and grey fabric from India would bridge the demand and supply gap. It will enable Pakistani exporters to continue growth momentum, he said.
In May 2020, Pakistan lifted the ban on importing medicines and raw material from India to ensure there is no shortage of essential drugs amid the Covid-19 pandemic. This was the first step of reversing of complete suspension of trade with India.
