Pakistan's cotton crisis: 6.71m bales against 9.64m target
Cotton area fell 12.6 per cent in a year, and estimates cited in the analysis show a cotton acre now earns far less than sugarcane, amid seed, water and tax problems.
The Federal Committee on Agriculture confirmed a 2026-27 cotton estimate of 6.71 million bales, against a 9.64 million target, a 30 per cent shortfall.
Cotton area fell 12.6 per cent, from 4.97 million acres to 4.35 million, as farmers planted more sugarcane, maize and rice.
A provisional 2025-26 estimate by Fauji Fertilizer put cotton's net income at about Rs5,000 an acre, against Rs54,000 for sugarcane.
An 18 per cent sales tax on domestic cotton, introduced in the 2024-25 budget, is cited as a key distortion.
Domestic supply now covers barely half of mill needs, and Pakistan spent $1.53 billion on raw cotton imports in 2025-26.