Cotton production increases 82% higher than previous year

Ginning units in Sindh recorded a remarkable 132pc surge in cotton arrivals. Exporters and traders, including a foreign firm, have acquired 0.279 million bales, compared to just 49,000 bales in the last year 

Cotton arrivals at ginning factories in Pakistan have witnessed a substantial 82 percent increase compared to the same period last year, according to data from the Pakistan Cotton Ginners Association (PCGA).

In marked contrast to the previous year, when severe floods and heavy rains resulted in a 34 percent year-on-year decline, this year’s cotton arrivals have exceeded expectations, with approximately 6.8 million bales registered by October 31.

The increase in cotton arrivals has been particularly pronounced in the Sindh region, which was severely impacted by the 2022 floods. Ginning units in Sindh recorded a remarkable 132 percent surge in cotton arrivals, reaching 3.79 million bales, compared to 1.63 million bales during the same period last year. In Punjab, ginning factories reported a 43pc increase, with 2.99 million bales compared to 2.09 million bales in the previous year.

Despite this encouraging rebound, the total cotton production for the 2023-24 season is likely to fall short of the target set by the Federal Committee on Agriculture. The Committee had aimed for 11.5 million bales, but some experts predict that the domestic production will likely remain between 9 and 9.5 million bales. It is anticipated that an additional 1.8 to 2 million bales may be generated in the remaining part of the season.

Textile mills have been actively procuring cotton, with 5.8 million bales purchased so far, reflecting a substantial 91pc increase over the previous year’s 3.03 million bales. Additionally, exporters and traders, including a foreign firm, have acquired 0.279 million bales, compared to just 49,000 bales in the previous year. Currently, ginners hold a stock of 0.713 million bales.

It is worth mentioning that despite the improved quality of cotton attributed to reduced rainfall this year, concerns persist regarding the delay of the federal government in fulfilling its promise to ensure a minimum rate of at least Rs8,500 per 40kg of cotton in the open market throughout the season. 

Cotton Ginners Forum Chairman Ihsan-ul-Haq has expressed frustration at the government’s inaction, attributing it to influential representatives from major textile groups who are influencing decision-making processes. This delay may have consequences for future cotton cultivation, potentially leading to reduced production next year.

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