According to the United States Department of Agriculture (USDA), Bangladesh is projected to import nearly 8.1 million bales of cotton in 2025-26.
What is striking is that the country’s domestic cotton production is almost negligible, with barely 45,000 hectares under cultivation yielding only 150,000 bales, which does not even meet 2 percent of national demand. Despite this, Bangladesh processes these 8 million imported bales into value-added products and earns over USD 50 billion annually in foreign exchange.
In contrast, Pakistan’s situation is very different. Each year the country consumes between 12 and 15 million bales from both local production and imports, yet textile exports have remained stagnant at USD 15 to USD 20 billion for the past several years. Thus, despite consuming more cotton than Bangladesh, Pakistan earns significantly less in foreign exchange.
The root of this disparity lies not in cotton volume but in quality and processing. Pakistan’s cotton parameters fail to meet international standards, while the traditional ginning system undermines fiber length, strength, and cleanliness. As a result, more than 90 percent of Pakistan’s cotton cannot be used for advanced value-added products. Instead of entering high-end fashion and technical textiles demanded by global brands, Pakistan’s textile sector remains confined to home textiles.
This limitation has curtailed the scope of exports, leaving both farmers and the industry stuck in stagnation and losses. If Pakistan truly intends to strengthen its position in the global textile supply chain, urgent reforms are needed in genetic improvement of cotton, provision of quality seed, and adoption of modern ginning technology. Without such steps, the industry will remain restricted to low-value products and export targets will remain unachieved.
The contrast is not just about cotton quantity but about value addition and policy priorities. Bangladesh’s textile sector understood global market dynamics, developed brand value for its products, and positioned itself competitively at the international level. On the other hand, Pakistan’s industry has focused mainly on cheaper energy, gas, and tax rebates, while little effort has been made to strengthen cotton research institutions, support farmers, or address seed and productivity challenges.
Pakistan must draw lessons from Bangladesh. If the textile industry truly wants growth, it must reduce reliance on government subsidies and strengthen the cotton value chain. This requires incentivizing farmers, supporting seed and research institutions, and producing globally competitive products. Only then can Pakistan expand its exports.
Given the emerging global demand, Pakistan must also invest in technical textiles and smart fabrics. Sectors such as medical textiles, defense fabrics, sportswear, and industrial fabrics are rapidly growing in international markets, and Pakistan must enter these segments. These high-value domains can multiply export earnings many times over.
The time has also come to move beyond selling yarn and grey cloth. Branding products is essential to establishing recognition of Pakistani fashion and textile design globally. Likewise, leveraging e-commerce and international retail networks to reach consumers directly can further boost exports.
Meanwhile, leading global buyers increasingly prioritize eco-friendly production, making water-saving technologies, recycled cotton, and green certifications indispensable.
It must also be understood that value-addition requires more than machinery. Preparing a new generation of designers, technicians, and researchers is vital. If Pakistan integrates such innovation into its textile industry, it can strengthen the cotton economy and reclaim a prominent place in global textile markets.
The challenges are not only technical but also policy-related. For decades cotton has not received the same policy importance in agricultural planning as rice or wheat. As a result, the area under cotton cultivation has steadily declined, with farmers shifting to more profitable crops.
Unless the government restores profitability balance among competing crops, boosting cotton production will remain impossible. Research and development investment is also almost negligible. If Pakistan were to spend even 1 percent of GDP on agricultural research, both the quality and quantity of cotton could improve dramatically within a few years.
From an economic perspective, Pakistan must recognize that value addition is not only a tool for boosting exports but also the largest driver of job creation.
Estimates suggest that if only 10 percent of Pakistan’s cotton were to be used in high-value products, more than 500,000 new jobs could be generated, while exports could increase by at least $8 to $10 billion. These opportunities are real, but they require vision, policy consistency, and serious commitment to turn into reality.
Copyright Business Recorder, 2025
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