By Nimra Khalil
The agricultural environment in Pakistan produces much more than food commodities each harvest season. It generates a huge amount of biomass crop residues, stalks, husks, and organic byproducts, which are not fully used. These materials are traditionally viewed as waste, and they are regularly burnt or discarded, which leads to environmental degradation and crises in human health. However, in the context of the global transition to circular economies and sustainable production systems, such biomass is an important but underutilized economic resource.
Pakistan does not have an environmental problem in the form of agricultural waste; it has a latent resource that can be used to achieve green industrialization, rural jobs, and climate-resilient development.
Agricultural waste: Scale, structure, and systemic neglect
Agriculture accounts to about 24 per cent of the GDP and provides more than 37 percent of the national workforce in Pakistan, which highlights its key role in the stability of the economy. Nonetheless, residues are also produced in large quantities in the sector. It is estimated that Pakistan generates about 108 million tons of crop residues, 840 million tons of animal manure and other biomass every year.
These residues are rice straws of 9.8 million tons of rice production, wheat stalks of 27.5 million tons of wheat, maize cobs, cotton stalks, banana pseudo stems and sugarcane bagasse of 88 million tons of sugarcane. Although they are economically valuable, there are no organized biomass markets and policy incentives to promote biomass burning in the open field, which has led to extensive burning.
Empirical evidence has shown that burning of crop residue contributes 40-60 percent of seasonal smog in the post-harvest months. In Pakistan, especially in Lahore and the Indo-Pak belt, air pollution has lowered the average life expectancy by 4 years and is linked with more than 256,000 premature deaths every year in South Asia. In addition to health effects, the burning of residues increases the rate of soil erosion and carbon emissions, which further increases the susceptibility of Pakistan to disasters caused by climate change. From a development perspective, this represents a classic case of resource misallocation driven by institutional gaps rather than material scarcity.
Global demand and missed economic integration
On the global level, agricultural biomass has been incorporated into high-value supply chains, such as natural fibers, bioenergy, biodegradable materials, and sustainable fuels. The global natural fiber market is estimated to reach USD 94.65 billion by 2030 and vegetal natural fibers are projected to grow by USD 269.28 billion in 2032, up to USD 69.23 billion in 2024.
On the same note, the sustainable fabrics market is projected to grow to USD 27.8 billion by 2029 due to regulatory forces, consumer demands, and climate pledges. The agricultural profile of Pakistan makes it a competitive supplier in these markets. Research has projected that effective use of crop residues would produce energy that matches 9.85 terawatts, which would meet almost 14 percent of the national electricity demand. The banana fiber that is extracted out of the discarded pseudostems alone has an estimated export potential of USD 1 billion annually. Added together with rice husk ash to build with, bagasse-based biofuels, biodegradable packaging and waste-to-energy systems, the total economic value is in the multi-billion-dollar category.
Policy analyses further suggest that Pakistan could meet up to 30 per cent of its electricity needs through thermal generation supplemented by solid agricultural waste. In an energy-import-dependent economy, this represents a strategic opportunity for both fiscal and energy security.
Emerging innovation ecosystem: Evidence of feasibility
Pakistan already has an emerging biomass innovation ecosystem, contrary to the assumptions of technological lag. In Sindh, a USD 3.73 million grant-based project is turning banana waste into bio-based textiles and renewable energy feeds. In Punjab, Innovative Bio Energy provides industrial boiler fuel, which is based on agricultural and industrial waste, which lowers the cost of production and emissions. Ranipur has a pulp mill that has been the first to make biodegradable tableware and packaging out of biomass- a structural change towards green manufacturing.
Waste-to-energy technologies are being developed at research institutions, including the National Institute for Biotechnology and Genetic Engineering (NIBGE), whereas universities in Quetta, Faisalabad, and Lahore are undertaking applied research in the areas of fiber extraction, bio-composites, and circular materials. It is worth noting that a banana fiber invention that was
developed in Balochistan has already gained global attention.
These scattered and underfunded efforts are empirical evidence of the technical ability of Pakistan. Their small size is the result of policy inertia and not the failure of innovation.
Socioeconomic multipliers and inclusive growth
Biomass use has good socioeconomic multipliers in terms of a development economics perspective. The industries based on waste are highly labor-intensive and geographically decentralized, thus suited well in the rural and peri-urban areas.
Employment can be created in Balochistan, southern Punjab, and interior Sindh, which is where poverty is high and the lack of industrial diversification is low. Furthermore, the involvement of women in the processing of fibers, weaving, and manufacturing of eco-products can increase the household income and reinforce gender-inclusive value chains.
These models minimize rural to urban migration, stabilize agrarian incomes, and incorporate smallholders into formal markets- effects that are consistent with inclusive growth models.
Climate mitigation with economic returns
Pakistan is a low emitter of greenhouse gases, but bears the climate imbalance. The use of agricultural waste makes climate mitigation and economic incentives consistent. Residue burning reduces emissions and particulate pollution, and biomass recycling enhances soil health and resource efficiency.
The green industries that are export-oriented will be able to receive climate finance, increase foreign exchange earnings, and improve the bargaining power of Pakistan in the international climate forums. In this regard, biomass is not just an environmental intervention- it is a strategic climate asset.
Policy imperatives and strategic direction
Pakistan needs to do structural reforms in order to realize this potential. The agricultural waste must be officially considered as a source of economy in the national policies. There has to be more government funding in research and development and institutionalized university-industry cooperation. Scale can be achieved through public-private partnerships and specific export policies can make Pakistan a supplier of sustainable materials.
Pakistan, without such interventions, would run the risk of being a raw-material manufacturer in a world that is becoming more and more value-added green industry.
From marginal resource to strategic asset
The agricultural waste of Pakistan represents a larger national paradox, which is a lot of resources with ineffective systems. What is being burnt or discarded can be used to power industries, produce exports, and help in climate resilience.
Pakistan can make its fields not only the place of pollution but the place of sustainable growth with coherent policy, institutional coordination, and strategic investment. Pakistan is not deprived of resources in the global shift to green economies; it just needs to realize the value of the same.
---------------------------------------
[Nimra Khalil is a geopolitical analyst whose research and commentary explore international relations, security strategy, and the shifting balance of power in an increasingly multipolar world, with particular attention to South Asia and the Asia-Pacific.]
The views expressed are not necessarily those of The South Asian Times
