Pakistan will export 3,000 bales of raw cotton to India after a 16 years' gap. Textile exports during 2006-07, worth $10.8 billion, increased by 5% against $10.2 billion in 2005-06 but failed to achieve the $11.5 billion target set for the year.

This export consignment, of 3000 bales, will be of low grade cotton costing Rs 35 million, at average rate of 48 to 50 cents per pound. Pakistan last exported cotton to India after 16 years back in 1991-92. India's current season cotton production is around 27 million bales against consumption of 23.5 million bales, a surplus of 3.5 million bales but it exported 4.5 million bales, which created some shortage. India's exports have surged by 110%, rising from $7.8 billion in 1999 to $18 billion in 2007.