KARACHI: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) have raised serious concerns about the dramatic decline in Pakistan’s cotton production.
Speaking at a press conference at Federation house on Saturday, Senior Vice President Saqib Fayyaz Magoon revealed that cotton production has plummeted from 14 million bales to just 5 million bales over the past decade, forcing Pakistan to import cotton worth $2-3 billion annually.
During a press conference, Magoon highlighted the disparity in taxation policies, noting that while locally produced cotton faces sales tax, imported cotton remains tax-free.
He urged the government to implement customs duties on imported cotton and establish a support price mechanism for domestic cotton producers.
FPCCI Vice President Asif Inam emphasized the critical lack of research in cotton cultivation, while Agriculture Task Force Chairman Sham Lal Manglani pointed out that cotton-growing land has been rapidly converted to rice and sugarcane cultivation, with cotton acreage reduced by half.
Dr Jesso Mal, Chairman of Pakistan Cotton Ginner’s Association, warned that Punjab alone is experiencing a significant shortfall, with current production failing to meet the demand of 4-5 million bales. He stressed that cotton could be a substantial foreign exchange earner for Pakistan if properly managed.
The FPCCI leadership warned that without immediate intervention, Pakistan’s textile exports, a crucial source of foreign exchange, could face severe impacts, potentially deepening the country’s economic challenges.
Copyright Business Recorder, 2025
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