A Policy Roadmap for Pakistan’s Agricultural-Residue Pellet Industry

Pakistan needs a market, not only machinery

My proposal begins with a controlled pilot involving twenty mills and participating industrial heat users. A staged target—rather than an overnight mandate—would allow standards, logistics and enforcement to mature.

Build quality and traceability from day one

A national system should define fuel classes, testing methods, accredited laboratories, batch records and clear rules for claims. Standards must reflect Pakistan’s actual feedstocks while remaining understandable to international buyers.

Traceability should distinguish legal residues and by-products from unverified forest material. The objective is to build a residue economy, not create a reason to harvest forests irresponsibly.

Finance the chain, including the farmer

Working capital is as important as mill finance because residues are seasonal and inventory may be held for months. Support should reward verified production and sale of compliant fuel rather than simply the purchase of machines.

Farmers and local aggregators need transparent weights, grades and payments. Their participation is not a social side note; it is the foundation of dependable feedstock supply.

Measure the pilot publicly

The pilot should report production, industrial use, verified fuel quality, farmer payments, jobs, fossil displacement, emissions performance and enforcement actions. Public results would allow policymakers to refine targets before national expansion.

Pakistan can create a serious domestic energy industry from agricultural residues, but credibility will come from measured performance, responsible sourcing and contracts that work for every link in the chain.