Struggling with severe financial challenges, pivotal cotton research institution, the Pakistan Central Cotton Committee (PCCC) plans to transfer its operations to the All Pakistan Textile Mills Association (APTMA) or the National Agricultural Research Centre (NARC).
Criticizing the PCCC for its inefficiency, the Economic Coordination Committee (ECC) has recommended its dissolution. A key factor in the committee's financial troubles is the refusal of textile millers to pay the cotton cess—a Rs 50 levy per cotton bale—which funds the PCCC’s operations. It has reduced employee salaries by 50 per cent, and pensions by 80 per cent since June 2022.
The government allocated Rs 656 million in the federal budget for FY2024-25 to cover employee-related expenses, following earlier supplementary grants and loans that proved insufficient. Despite this, the PCCC remains financially unstable.
Established in 1948 under the Cotton Cess Act of 1923, the PCCC operates under the Ministry of National Food Security and Research. Its mandate includes cotton research, production enhancement, and marketing improvement. However, resistance to cess payments has crippled the committee's ability to fulfill its responsibilities.
The ECC has tasked the Ministry of National Food Security with preparing a case for the Cabinet Committee on Rightsizing to determine the future of cotton research. The ministry has also been directed to consult the Attorney General and provincial advocate generals to expedite court case resolutions.
The ECC has proposed shifting cotton research to the private sector, suggesting that transferring the PCCC to APTMA could better align research with industry needs. Alternatively, integrating the PCCC into NARC could embed its work within broader agricultural research efforts.
As the government weighs its options, the fate of the PCCC remains uncertain, highlighting the urgent need for a sustainable approach to revitalize Pakistan’s cotton sector.
