Pakistan: Amid worries from farmers, the cotton ginning season starts in Punjab and Sindh.
The new cotton ginning season has commenced in Pakistan, albeit with some reservations, as only one ginning unit each has become operational in Sindh and Punjab, with more expected to follow suit in the coming days.
Reports indicate that partial cotton picking has commenced in coastal areas of Sindh and southern Punjab, leading to a gradual increase in the arrival of raw cotton in the market. However, the volume remains lower compared to last year during the same period.
In Sindh's lower areas, cotton picking is gaining momentum, with prices ranging between Rs9,500 and Rs10,700 per 40kg. However, concerns persist as farmers, engrossed in their recently harvested wheat crops, seem to overlook cotton, exacerbated by the government's delay in announcing the cotton intervention price.
Field reports suggest that soaring temperatures are hampering cotton sowing efforts. Moreover, textile mills, citing financial constraints, have withheld payments amounting to billions of rupees, exacerbating the sector's woes.
A recent meeting between the Pakistan Cotton Ginners Association (PCGA) and the All-Pakistan Textile Mills Association (APTMA) failed to yield substantial outcomes, merely involving exchanging suggestions for improving the prevailing situation.
Abid Zaidi, a prominent cotton expert, expressed disappointment over APTMA's lack of commitment during the meeting. He highlighted the grievances of ginners regarding textile mills' preference for importing cotton at higher prices rather than offering better rates for locally produced premium quality lint. Zaidi emphasized the need for textile mills to actively engage in producing quality lint and address the issue of non-lint content, which stands at up to 8%, a level not acceptable in other countries.
Meanwhile, the Karachi Cotton Association's spot rate committee maintained the spot rate at Rs19,700 per bale. Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, noted an upward trend in international cotton rates, with cotton futures trading at 80.52 cents per pound in the New York market.
Chairman of the Cotton Ginners Forum, Ihsanul Haq, highlighted the adverse impact of unfavorable weather on cotton cultivation this season. Severe cold earlier affected cotton sowing in February and March in coastal Sindh, while higher temperatures are now impeding sowing and growth in major cotton zones of Punjab and Sindh, including districts like Rahim Yar Khan, Bahawalpur, Multan, Sukkur, and others.
In response to the sector's challenges, the Punjab government announced plans to establish a garment city covering 1,000 acres near Lahore to attract local and foreign investors for setting up new textile mills. However, Haq proposed reallocating these funds to revive the 50 to 60% of textile mills lying dormant in the province due to various reasons.
Read more :- PAKISTAN : Over 100,000 Acres in Faisalabad Under Cotton Cultivation
Regards
Team Sis
Any query plz call 9111677775
https://wa.me/919111677775
