The cotton textile industry is the largest industry in Pakistan, providing employment to 38 percent of the industrial labor force and contributing the largest share to GNP from the industrial sector. it is passing through a difficult period at the moment, it will always have an important role play in industry because Pakistan has an abundance of raw cotton, a large local market and a big labor force.
The cotton textile industry has made phenomenal progress in Pakistan. In 1948, there were only 78000 spindles and 3000 looms, which produced a total of 6.3 million kilograms of yarn and 29.6 million square meters of cloth. The output steadily increased, with 40 percent of the cotton being consumed locally.
In 1974-5, however the cotton industry faced serious internal problems, The number of spindles and looms began to fall, and the cloth output declined. Even today, the problems faced by the cotton industry are many, outdated machines, a shortage of skilled workers, labor, unionism, a lack of entrepreneurial interest, financial liabilities, poor liquidity and the high cost of cotton and polyester.