ISLAMABAD: As of September 30, 2024, cotton arrivals in Pakistan experienced a staggering 59% decrease compared to the same period last year, according to data from the Pakistan Cotton Ginner’s Association (PCGA) released on Thursday. Total arrivals reached 2.04 million bales, down from 5.025 million bales in September 2023, marking a drop of 2.985 million bales.
On a positive note, there was a 42% improvement in cotton arrivals on a fortnightly basis, rising from 1.434 million bales recorded on September 15, 2024.
This significant decline in cotton arrivals, a vital raw material for the textile industry, poses a serious concern for Pakistan. The textile sector, which accounts for a large portion of the country’s exports, has been grappling with falling demand and escalating energy prices.
The All Pakistan Textile Mills Association (APTMA), representing the nation’s largest industrial sector, has repeatedly urged the government to eliminate cross-subsidies to nonproductive sectors. Recently, APTMA leadership met with Minister of State for Finance Ali Pervaiz Malik to discuss ongoing challenges impacting the textile industry. They expressed concerns about a substantial underperformance in exports, currently trailing by $9 billion from the sector’s potential.
According to the PCGA, both Punjab and Sindh provinces reported notable declines in cotton arrivals. In Punjab, arrivals reached 0.727 million bales, down 65% from 2.069 million bales during the same period last year. However, cotton arrivals in Punjab saw a 35% fortnightly increase compared to 0.539 million bales on September 15, 2024.
Sindh also faced a significant drop of 56%, with cotton arrivals at 1.313 million bales compared to 2.956 million bales in the previous year. Yet, similar to Punjab, Sindh experienced a substantial fortnightly increase, with arrivals rising by 47% from 0.895 million bales reported on September 15.
