Pakistan's economic body lifts ban on import of cotton and yarn from India: Report

The Imran Khan-led Pakistan government has lifted the ban on the import of cotton and yarn from India while approval of sugar imports is expected soon. As per the ANI report, on March 31, Pakistan’s Economic Coordination Council (ECC) approved the resumption of Indo-Pak trade allowing the import of cotton from India till June 30, 2021. The decision was followed by a summary of cotton and sugar imports from India being presented to the Committee for approval on Wednesday.

Earlier, the Pakistani Ministry of Commerce had released a note for import approval from India. As reported by The Dawn, there are in total 21 items that are on the agenda of the ECC meeting that is chaired by newly-appointed Pakistani Finance Minister Hammad Azhar. 

The Pakistan Commerce and Textile ministers have reportedly submitted five crucial summaries for the approval besides others and the Textile Division summary had sought permission from the ECC to lift the ban on cotton and yarn in an attempt to overcome the raw material shortage for the textile sector in Pakistan. Before Wednesday decision, Pakistan was allowing cotton, yarn and sugar imports from all other nations except India.

As the in-charge of the Commerce and Textile Ministry, Pakistan Prime Minister Imran Khan had previously approved the summary that was placed before the ECC on March 31. The low yield of cotton bales in Pakistan has further budded problems. This led to the government allowing imports from India. The lift on the cotton, yarn ban from India is expected to relax the textile sector of the nation which is currently seeking cheaper raw materials. 

Pakistan suspended trade with India in 2019

After India revoked the special status of Jammu Kashmir in 2019, Pakistan had also suspended trade relations with New Delhi. Wednesday’s ECC decision came after Pakistan failed to stir global support against India for withdrawing Jammu and Kashmir’s special status and bifurcating the region in two territories in August 2019. Last year, in May 2020, Pakistan had lifted the ban on the import of medicines and raw materials from India amid the COVID-19 pandemic and preventing a shortage of drugs. 

Image credits: AP/PTI