Without institutional reform and policy realignment, Pakistan risks deepening its dependence on imported cotton and weakening its export engine.
Pakistan’s cotton sector, long dubbed “white gold”, is at an inflection point. While Punjab’s renewed cultivation drive signals intent, experts warn that provincial efforts alone cannot reverse a structural decline that has halved output over the past decade.
According to The Agriculture Republic, Pakistan’s cotton production has fallen from 14–15 million bales to just 5–6 million in recent years. The decline reflects persistent policy inconsistency, weakened research systems and institutional inertia.
A key bottleneck is the delayed merger of the Pakistan Central Cotton Committee with the Pakistan Agricultural Research Council. Despite cabinet approval and prior workforce rationalisation by PCCC, the process remains stalled, leaving governance fragmented and research direction unclear.
Policy distortions exacerbate the decline. Imported cotton benefits from relative tax relief, while domestic producers face higher costs—undermining farm incentives and weakening the entire value chain from growers to ginners.
The consequences are macroeconomic. Falling domestic output has increased reliance on imports, driving foreign exchange outflows. At the same time, global supply chain volatility raises the risk of price shocks and supply disruptions—exposing Pakistan’s textile industry to raw material insecurity.
Cotton policy must shift from short-term interventions to strategic alignment. This requires completing institutional reforms, restoring R&D capacity, and rebalancing tax policies in favour of local production.
Without decisive federal action, Pakistan risks eroding the foundation of its largest export sector. With it, cotton could once again anchor agricultural resilience and industrial competitiveness.
