Cotton production support Pakistan’s largest industrial sector, it provides raw material to ginning factories textiles mills and oil expelling units. Raw Cotton in Pakistan is a natural fiber used in many products such as clothing to home furnishings and medical products.
As a result cotton is always in demand though its use is subject to the strength of the overall economy. In the world, Pakistan comes at 4th number as a producer of cotton after china, India and US. Cotton trading is the major source of generating income, employment and it is a strong sector of export. Pakistan textile industry is totally dependant on raw material specially cotton which has a position among other cash crops and plays big role to enhance the economy.
Raw cotton in Pakistan and its byproducts contribute maximum of its total foreign earning it is major source of income and employment generation in agricultural and industrial sector. It provides jobs to about seven million people involved in this trade, it also provide raw material to edible oil indirectly to meet the domestic requirements but it is not enough to meet the domestic demand of spinning mills required to do more productions.
Cotton sector needs to increase per acre yield by applying modern technology, there are natural factors like rain, drought and floods especially in southern Punjab, there are few obstacles to better yield the yield also remain low due to unfavorable weather conditions at the time of sowing. Raw Cotton in Pakistan faces competition with other crops as well which is also constraint in bringing more area under this crop.
Besides all these facts Pakistan is second largest exporter of cotton in the world and exports to above 45 countries in Far East Japan, Hong Kong, Taiwan and South Korea. There are frequent buyers in near east Bangladesh, India and Sri Lanka and are major buyers in south East Asia. Indonesia Thailand, Philippines and Malaysia are main buyers in the east while Italy Germany France Spain and Portugal are major buyers in Europe.