Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced

Cotton, textiles, and apparel are critical agricultural and industrial sectors in Pakistan. This study provides descriptions of these sectors and examines the key developments emerging domestically and internationally that affect the challenges and opportunities they face. One-quarter of Pakistani f...

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Autores principales: Cororaton, Caesar B., Salam, Abdul, Altaf, Zafar, Orden, David, Dewina, Reno, Minot, Nicholas, Nazli, Hina
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2008
Materias:
Acceso en línea:https://hdl.handle.net/10568/161272
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author Cororaton, Caesar B.
Salam, Abdul
Altaf, Zafar
Orden, David
Dewina, Reno
Minot, Nicholas
Nazli, Hina
author_browse Altaf, Zafar
Cororaton, Caesar B.
Dewina, Reno
Minot, Nicholas
Nazli, Hina
Orden, David
Salam, Abdul
author_facet Cororaton, Caesar B.
Salam, Abdul
Altaf, Zafar
Orden, David
Dewina, Reno
Minot, Nicholas
Nazli, Hina
author_sort Cororaton, Caesar B.
collection Repository of Agricultural Research Outputs (CGSpace)
description Cotton, textiles, and apparel are critical agricultural and industrial sectors in Pakistan. This study provides descriptions of these sectors and examines the key developments emerging domestically and internationally that affect the challenges and opportunities they face. One-quarter of Pakistani farmers, of whom about 40 percent have household incomes below the poverty line, grow cotton. Export controls and taxes kept cotton prices below international levels until the mid-1990s but have subsequently tracked export parity international levels following reforms to trade and pricing policies and a greater role for the private sector. Pakistani farmers have not formally adopted genetically modified Bt cotton but there is some field evidence of its unregulated use. Despite constraints in its production, storage, and ginning sectors, the production of cotton yarn increased at an annual rate of 4.7 percent during 1990-2005 and Pakistan's share of world output increased to nearly 10 percent. Cotton-related products account for nearly 60 percent of Pakistan's export earnings. The textile industry still produces mostly fabrics of relatively low count (low quality) although it has been successful in expanding its exports of some higher-value products. The industry will need further entrepreneurial initiatives to remain competitive in international markets. Among the farm households that produce cotton, about 40 percent of total income comes from its production. The decline in world prices that occurred in the late 1990s adversely affected these households. Household-level simulations suggest that a counterfactual 20 percent increase of cotton prices, which reflects the extent to which real cotton prices declined in Pakistan during this period, would have reduced the percentage of cotton-producing households below the poverty line in 2001 from 40 percent to 28 percent. The estimated effect from declining cotton prices explains about one-sixth of the overall observed increase of rural poverty in the period.
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spelling CGSpace1612722025-11-06T06:22:45Z Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced Cororaton, Caesar B. Salam, Abdul Altaf, Zafar Orden, David Dewina, Reno Minot, Nicholas Nazli, Hina cotton textiles clothing rural poverty subsidies economic policies markets globalization trade Cotton, textiles, and apparel are critical agricultural and industrial sectors in Pakistan. This study provides descriptions of these sectors and examines the key developments emerging domestically and internationally that affect the challenges and opportunities they face. One-quarter of Pakistani farmers, of whom about 40 percent have household incomes below the poverty line, grow cotton. Export controls and taxes kept cotton prices below international levels until the mid-1990s but have subsequently tracked export parity international levels following reforms to trade and pricing policies and a greater role for the private sector. Pakistani farmers have not formally adopted genetically modified Bt cotton but there is some field evidence of its unregulated use. Despite constraints in its production, storage, and ginning sectors, the production of cotton yarn increased at an annual rate of 4.7 percent during 1990-2005 and Pakistan's share of world output increased to nearly 10 percent. Cotton-related products account for nearly 60 percent of Pakistan's export earnings. The textile industry still produces mostly fabrics of relatively low count (low quality) although it has been successful in expanding its exports of some higher-value products. The industry will need further entrepreneurial initiatives to remain competitive in international markets. Among the farm households that produce cotton, about 40 percent of total income comes from its production. The decline in world prices that occurred in the late 1990s adversely affected these households. Household-level simulations suggest that a counterfactual 20 percent increase of cotton prices, which reflects the extent to which real cotton prices declined in Pakistan during this period, would have reduced the percentage of cotton-producing households below the poverty line in 2001 from 40 percent to 28 percent. The estimated effect from declining cotton prices explains about one-sixth of the overall observed increase of rural poverty in the period. 2008 2024-11-21T09:54:34Z 2024-11-21T09:54:34Z Working Paper https://hdl.handle.net/10568/161272 en Open Access application/pdf International Food Policy Research Institute Cororaton, Caesar B.; Salam, Abdul; Altaf, Zafar; Orden, David; Dewina, Reno; Minot, Nicholas; Nazli, Hina. 2008. Cotton-Textile-Apparel sectors of Pakistan. IFPRI Discussion Paper 800. https://hdl.handle.net/10568/161272
spellingShingle cotton
textiles
clothing
rural poverty
subsidies
economic policies
markets
globalization
trade
Cororaton, Caesar B.
Salam, Abdul
Altaf, Zafar
Orden, David
Dewina, Reno
Minot, Nicholas
Nazli, Hina
Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title_full Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title_fullStr Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title_full_unstemmed Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title_short Cotton-Textile-Apparel sectors of Pakistan: Situations and challenges faced
title_sort cotton textile apparel sectors of pakistan situations and challenges faced
topic cotton
textiles
clothing
rural poverty
subsidies
economic policies
markets
globalization
trade
url https://hdl.handle.net/10568/161272
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