Archive · 23 Jul 2026
Pakistan's Cotton Crisis Deepens with Rising Imports
Pakistan is facing a big problem with its cotton supply.
The country is now importing a lot of cotton from the United States and Brazil because it is not producing enough cotton at home.
This is happening because farmers are growing other crops like sugarcane, maize, and rice instead of cotton.
The cotton and textile industry in Pakistan is now very dependent on imports, which is making it harder for the country to be self-sufficient.
The industry is asking the government for help with taxes and energy costs to make things better.
Pakistan has ordered 206,000 bales of cotton from the United States and is increasing purchases from Brazil due to declining domestic output.
Domestic cotton production has fallen to roughly 5 million bales, well below self-sufficiency levels.
Shrinking cultivation area, poor seed quality, climate stress, pest pressure, and farmers prioritizing other crops have led to the decline in cotton production.
Textile manufacturers are urging the government for tax relief, lower energy tariffs, and reduced levies to absorb the cost of import dependence.
Growing dependence on cotton imports risks widening the current account deficit and undermining the competitiveness of Pakistan’s export-oriented textile industry.
- Who
- Pakistan's cotton and textile industry
- What
- Deepening cotton crisis due to rising imports and declining domestic production
- When
- Ongoing, with recent estimates and reports highlighting the current situation
- Where
- Pakistan
- Why
- Shrinking cultivation area, poor seed quality, climate stress, pest pressure, and farmers prioritizing other crops
Textile Manufacturers
Government
Tax Relief
Textile Manufacturers
Textile manufacturers are urging the government for tax relief to help absorb the cost of import dependence and weak domestic output.
Government
The government has not yet responded to the requests for tax relief, lower energy tariffs, and reduced levies.
- Cotton Imports
- 206,000 bales from the United States, increasing purchases from Brazil
- Domestic Output
- Roughly 5 million bales, significantly below self-sufficiency levels
- Causes of Decline
- Shrinking cultivation area, poor seed quality, climate stress, pest pressure, and farmers prioritizing other crops
- Impact on Industry
- Increased dependence on imports, risk of widening current account deficit, and undermining competitiveness of the textile industry
- Government Requests
- Tax relief, lower energy tariffs, and reduced levies