Do you think over-reliance on cotton holds back Pakistan's industrialisation?

[Paul2]

Hello everybody, I'm a newcomer to this forum, an engineer from China.

I visited Pakistan this summer in preparation for a project related to water filtration plants.

One thing I noted is just how central is cotton to so much of economic activity. I've been told that a lot of things in the country fluctuates with annual cotton harvest: FX rates, cost of shipping, lead times of logistics companies, insurance rates, and cost of water for industrial consumers.

Do you think that is right?

I believe it is a reason to worry. I'll give you some food for though:

1. Cotton harvests are very unpredictable
2. Cotton requires a giant amount of water
3. Country puts all of its economic eggs in one basket
4. It traps a giant amount of potential labour resources in countryside
5. It mentally constrains people, and their money into that 1 year short term outlook

The industrial economy can provide far greater returns, and export revenue that cotton and textiles. I think that Pakistan's delayed industrialisation is at least in some part a result of things named above.

What do you think?

 

[Indus Pakistan]

Hello everybody, I'm a newcomer to this forum, an engineer from China.

I visited Pakistan this summer in preparation for a project related to water filtration plants.

One thing I noted is just how central is cotton to so much of economic activity. I've been told that a lot of things in the country fluctuates with annual cotton harvest: FX rates, cost of shipping, lead times of logistics companies, insurance rates, and cost of water for industrial consumers.

Do you think that is right?

I believe it is a reason to worry. I'll give you some food for though:

1. Cotton harvests are very unpredictable
2. Cotton requires a giant amount of water
3. Country puts all of its economic eggs in one basket
4. It traps a giant amount of potential labour resources in countryside
5. It mentally constrains people, and their money into that 1 year short term outlook

The industrial economy can provide far greater returns, and export revenue that cotton and textiles. I think that Pakistan's delayed industrialisation is at least in some part a result of things named above.

What do you think?

Great to have you here - I will contribute to this thread later when I get time.

 

[Path-Finder]

Hello everybody, I'm a newcomer to this forum, an engineer from China.

I visited Pakistan this summer in preparation for a project related to water filtration plants.

One thing I noted is just how central is cotton to so much of economic activity. I've been told that a lot of things in the country fluctuates with annual cotton harvest: FX rates, cost of shipping, lead times of logistics companies, insurance rates, and cost of water for industrial consumers.

Do you think that is right?

I believe it is a reason to worry. I'll give you some food for though:

1. Cotton harvests are very unpredictable
2. Cotton requires a giant amount of water
3. Country puts all of its economic eggs in one basket
4. It traps a giant amount of potential labour resources in countryside
5. It mentally constrains people, and their money into that 1 year short term outlook

The industrial economy can provide far greater returns, and export revenue that cotton and textiles. I think that Pakistan's delayed industrialisation is at least in some part a result of things named above.

What do you think?

There was a thriving industry of mills and looms making cloth from cotton. That was systematically destroyed by the political parties. It was a thriving industry function very well and i saw it in the early 90 myself.

sadly no one other corrupt politicians destroyed it with their policies. Now there are just ruins left of those mills and production shifted to other countries.

 

[prop558]

Pakistan badly needs Industrialization, and bulk of the upcoming industrialization should be done in Southern Balochistan, due to lack of employment opportunities in that locality. Punjab is already having High Human Development Index, while Balochistan, Southern Sindh & FATA still having the worst Human Development Index in Pakistan.

Why China is establishing the CPEC, mainly because to uplift the Western China equal to the rich Eastern China. See what West Germany did about East Germany after the Fall of Berlin Wall and merger between East & West Germany. So I think our main focus of Industrialization should be Balochistan, FATA & Southern Sindh, it will help to provide employment to the locals and the Higher Management / experienced staff can go their from Karachi & Punjab.

Having further development in already developed areas, will certainly not help Pakistan to improve its overall HDI (Human Development Index) as Northern Punjab, Central Punjab & Karachi are already having the Highest HDI within Pakistan.

I'm saying this because RAW easily exploits the unemployment of the Southern Balochistan to use it for them. Once of the local separatist leader of BLA BLF said in a press conference during the surrender ceremony that there is no source of income for the 250,000 household families in Southern Balochistan. BLA BLF BRA pays them (as low as) 25 to 35 thousand per terrorists. Its also the report of ISI MI. We must not leave any loop whole for the RAW CIA to avail it for their own motives.

 

[MBT 3000]

cotton mafia and corrupt politicians, have a hand

 

[Abdussamad]

It's not just cotton but textiles as a whole. It's too late now to stop it. Textile lobby is too strong. They keep getting subsidies from the government. Other sectors don't enjoy those rents so there is less incentive to invest in them.

I've given an example of an industry that we could develop here. We have the trained labour to do it and there are outsized profits in it. Only thing required is a well marketed platform and the cooperation of western payment companies like visa and mastercard.